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Full list of DWP and HMRC changes coming in August – check if you are affected

July 28, 2024
in News
Full list of DWP and HMRC changes coming in August – check if you are affected
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Senior woman has financial problems. Counting money, monthly pension, don’t have enough money for paying bills.

Significant changes to DWP benefits have been announced (Image: Getty)

Significant changes to benefits administered by the Department for Work and Pensions (DWP) are set to take effect next month. Changes include a tax credit deadline which needs immediate attention and a switch to Universal Credit.

Benefit recipients can also expect earlier payments in August due to the upcoming bank holiday.

Reminders have been sent to about 730,000 households about tax credits. Many people will need to let HMRC know of any changes which could affect their payments.

Working tax credits are worth £2,435 for the basic element, while child tax credits are valued at £3,455 for low-income families, with additional amounts available for single parents and individuals with disabilities.

Tax credits must be renewed annually, and renewal packs should have been received by claimants in June.

Frustration calculating Tax Demand

Many people claiming benefits can expect to receive payments earlier than usual in August (Image: Getty)

The deadline to respond with information about one’s circumstances, including income details for the previous tax year (April 6, 2023, to April 5, 2024), is July 31 – just four days from now.

Claimants must also report changes in working hours, childcare costs, or if a child leaves home or ceases education/training.

Failure to update HMRC can result in a £300 fine or higher for providing incorrect information. Additionally, thousands of benefits claimants need to transition from legacy benefits to Universal Credit by the end of this month to avoid having their payments stopped.

Managed migration letters have been sent, and claimants have three months from the letter’s date to comply.

About 120,000 households with tax credits and housing benefits and 110,000 income support claimants started receiving migration letters in April, with a deadline at the end of July to apply for Universal Credit.

The anti-poverty charity Z2K highlighted that over 31,000 households lost benefits after missing migration deadlines, typically losing £4,130 annually.

Managed migration notices were sent to housing benefit recipients in June, with a deadline at the end of September.

Starting in July, those receiving ESA along with child tax credits and those over state pension age claiming tax credits will be asked to switch to Universal Credit or Pension Credit.

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Anyone expecting payments on August 24 or 25 will also receive their money on August 23. The DWP and HMRC have confirmed the following benefits will be made early in August:

-Attendance allowance

-Carer’s allowance

-Disability living allowance

-Income support

-Jobseeker’s allowance

-Pension credit

-Personal independence payment (PIP)

-State pension

-Universal Credit

-Child benefit (paid by HMRC)

-Tax credits (paid by HMRC)

>>> Read full article>>>
Copyright for syndicated content belongs to the linked Source : Daily Express – https://www.express.co.uk/news/uk/1928877/dwp-hmrc-changes-august-full-list

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