The Tax Cretins (oops… Credits) Guide and regs etc deal with a situation where a person COULD claim TCs but chooses/fails to do so.
In this situation there is no notional income to take into account. No TCs – No income. Simple.
I have just been asked about this situation:
Claimant has received TC award notice, and has now decided he does not want it.
He is going to write to the Inland Revenue and ask them to cancel his award.
And no, I don’t know what his “problem” is.
So, once he has cancelled it do we just cancel the income from his HB claim…. or what?
My first guess is to say that we just take it off, as there is no provision for notional TCs.
Any competing theories?