LITRG urges tax credits action

The Low Incomes Tax Reform Group (LITRG) has urged people who missed the 31 July tax credits renewals deadline to contact HMRC urgently to restart their tax credit payments.

LITRG advises that the renewals process does two things. First it finalises the claim for the tax year that has just ended (2020-21) and second it acts as a claim for the new tax year (2021-22). If the tax credit claim ended during 2020-21 and the individual claimed universal credit in the same tax year they will not receive a standard renewal pack as their claim for the year should already have been finalised under the in-year finalisation process.

Head of LITRG Victoria Todd urged people to contact HMRC as soon as possible if they have missed the deadline. ‘If HMRC has stopped a claimant’s payments then provided they contact HMRC within...