Parents Missing Out On £1500 Tax Refund
Thousands of parents have yet to benefit from a substantial tax credit refund which can be worth over £1500 per family. For those with children born between 1985 and 2003 a valid claim can still claim made – but time is running out.
Parents with children born between 1985 and 2003 may be due a substantial tax refund. But the clock is ticking, action should be taken now to make sure the repayment is made.
In 2001 the Government introduced the Children’s Tax Credit, a fore-runner to the current Child Tax Credit system. For the following two tax years (2001-2002 and 2002-2003) tax relief for people with children was given as a tax reduction in their tax codes. However, the Revenue did not always know who to give the money to and subsequently thousands of families have missed out.
How much is it worth? In each tax year the claim is worth approximately £520. In addition, in the 02-03 tax year, if a baby was born the claim is twice the annual amount of £1049. The maximum refund is over £1500. To receive the money applicants will have had at least one child who lived with them and was under sixteen at the start of the 02 or 03 tax year.
Just as importantly, one or both parents must have been earning and paying tax in the tax years in question. And lastly claims can only be made if the money has not already been paid out. Looking at tax codes for the 02 and 03 tax year is the quickest way to check; if they end in an ‘H’ then the relief has already been given.
For those that find the tax system a bit daunting, help is at hand for parents who feel they may have a claim and are worried about missing out. Refunds Direct, a tax refund company, has developed a no win no fee service that completes all the tax work, as Mike Oaten, the Director in charge of the service, explains:
“There are so many families affected by this and so much money at stake. The Revenue are making no efforts to hand the money back and unless people act now millions and millions of pounds are going to be stay safely in the Taxman’s pocket. I am pleased to say our service is proving to be a great help, we are sending out cheques every day to people who would otherwise miss out.”