Tax credits: help your employees renew without delay

13 May 2016

HMRC is urging employers to encourage their staff to renew their tax credits claim accurately, and online, as soon as possible. Tax credits helplines get very busy in June and July, the lead up to the 31 July deadline. Failure to renew before the deadline will mean payments are stopped.

Renewing online is quick, convenient and easier than ever before. Anyone can do it once they receive their renewals pack, regardless of what changes they have to make.

When customers renew their claim, they must tell HMRC about any changes to their circumstances that they haven’t already reported, including changes to working hours, childcare costs or income. Once people receive their renewal pack, these changes can be reported through GOV.UK.

The online service proved very popular in 2015, with more than 750,000 people renewing online and around 90% of people using it saying they were happy with the service. It only takes around six minutes to renew online, depending on circumstances.

There is also a special team to support the most vulnerable customers who cannot go online. People who we know need special support will be proactively contacted by our customer support teams.

Online help and information on renewing tax credits is available on GOV.UK and via HMRC’s customer service Twitter feed @HMRCcustomers. Support is also available through the tax credits helpline.

This year, customers renewing online will also be able to access a growing range of other services, including viewing their next payment, through their own online Personal Tax Account. This is a new and innovative service that puts everything in one place for customers, allowing them to manage their tax affairs at a time that suits them and without the need to pick up a phone or pen. By logging in, customers can already see how their tax is calculated, make changes to circumstances that affect tax or Child Benefit and claim back any overpaid money. Every UK citizen can now access their own account and more than a million already have.

HMRC has begun sending tax credits renewal packs to approximately 5.9 million households around the country. The packs are sent out from April to June.

How can you help?

If you want to help make sure your employees renew early and receive the correct tax credits, there are some simple things you can do.

Encourage your employees to check the details on their renewals pack are correct, then beat the rush by renewing online.

The tax credits your employees receive are based on the earnings you tell HMRC about through Real Time Information so you help by keeping information accurate and up-to-date.

Adding messages to payslips from April to July, such as:

If your company produces a newsletter for employees, you could include the messages below to remind them to renew their tax credits claim.

  • If you’re a tax credits customer, make sure you renew your tax credits claim before the 31 July 2015 deadline or your payments could stop.
  • Tax credits helplines get very busy in June and July, the lead up to the deadline, so beat the rush by renewing online, securely, at any time of day.
  • Read your renewals pack carefully when you receive it. It’s important you make sure the details on your claim are right, so that you receive the right amount of tax credits. HMRC make checks, so they could contact us as your employer and ask us to provide details of your hours and earnings.
  • If you need to complete your renewal, do it without delay to make sure you receive the right amount of tax credits.