Tax credits - am I missing something?

[Woody]

Now I don't claim any tax credits as I was under the impression that I don't qualify - event the HMRC quick guide would suggest I don't.

Yet I have mate, who is belly aching about his promotion at work as it might push his salary over the threshold for Tax Credits, I found this a bit odd as he earns a fair bit more than I do. As far as I know his wife doesn't work at the moment - now a stay at home Mom.

My wife is in a similar position as stay at home Mom, but she gets PIP (higher rate of both elements).

I've worked out that the Wife's PIP & my salary are still less than my mates income - he keeps saying he needs to stay below £50k (or was it £52k) to still be able to claim his credits.

What am I missing?

I noticed on the HMRC guide where you fill in a load of stuff it asks about pension contributions and charitable donations. With the pensions it that any pension contribution (i.e. work pension) or just personal pension contributions? Also if I work out how much I've 'gift aided' does this make a difference?

Thanks!

[fat80b]

Is he referring to child benefit? - this starts to reduce at £50K and ends up at 0 at £60K

https://www.gov.uk/child-benefit-tax-charge

Bob?

[Woody]

fat80b said:

Is he referring to child benefit? - this starts to reduce at £50K and ends up at 0 at £60K

https://www.gov.uk/child-benefit-tax-charge

Bob?

Might well be - we don't eve get that though due to continual cock up - it took 2.5 years to sort my wifes PIP.....

[Alucidnation]

I don't understand why anyone would even need/get child benefit if their income is substantial.

[Sheepshanks]

Woody said:

Might well be - we don't eve get that though due to continual cock up - it took 2.5 years to sort my wifes PIP.....

What - you've got children but don't get child benefit? I'm struggling to imagine how that could happen.

[Eric Mc]

People don't know what benefits are out there and get confused between all the different classes. Child Tax Credit and Child Benefit are completely different things.

If neither of a couple earns more than £50,000 before tax, one of the couple (usually the mother) should be able to receive their Child Benefit.

[Woody]

Sheepshanks said:

What - you've got children but don't get child benefit? I'm struggling to imagine how that could happen.

Capita........