Reply To: Tax credits
I think what they are trying to tell us is this:-
In HB/CTB the benefit week runs from Monday to Sunday (this has not changed). Changes in tax credits take effect in HB/CTB from the benefit week after the day they occur (with the exception of 7th April 2003 because that day has special rules). However in Tax Credits any changes in the rate of payment are deemed to occur on the Sunday of the week. So if someone has a change to their award or a new award is made, as far as HB/CTB is concerned the payment is deemed to be made on the Sunday at the start of the week.
Giving an example, if someone is awarded and paid a tax credit on Thursday 14th August (it may be backdated to mid May, that does not matter), then the date the payment is deemed to be made is the Sunday at the start of that week, ie 11th August. Following our usual rules in HB/CTB where a change occurs on a Sunday, we amend the claim from the following Monday, in this case Monday12th August.
I’m sure when the detailed guidance comes out it will not be as simple as this, but we can always hope.