UK tax child credits

[JimandBarbinAus]

Hi everyone, I have been speaking with a work colleague and he has informed me that his daughter his still getting child benefits for her children although they are living in Aus, is this accurate? Regards Stu n Laura

[Guest guest4504]

Probably until caught, then has to pay it all back to UK. Cant see how this can happen. I thought any income from overseas would have tax inplications.

[JimandBarbinAus]

Thanks for the reply. I thought it didn't seem kosher when my colleague told me. Do you have any idea what happens to child trust funds, are they frozen until the 18th birthday or can I keep paying into it? Cheers

[soccer65]

you are entitled to it for the first 12 weeks from the first day you arrive in Oz then it stops, but thats doing it the legal way.

[JimandBarbinAus]

Thanks for that. Am I right in thinking that we will not be entitled to any form of support until we are fully fledged Aussies?

[Guest guest4504]

" Do you have any idea what happens to child trust funds, are they frozen until the 18th birthday or can I keep paying into it? Cheers"

 

from what i know of through the bank that the fund is held, we can contribute for 5 years then you have to freeze. however, I may be wrong as this applied in December. it is also the same for private pensions, once left UK you can pay into it for up to 5 years and £3200 pa, then you either freeze or transfer to Oz fund.

[Hazel M]

People who are living in Oz but not sure if they going to stay permanently, I thought, are able to receive tax creds etc for a year. But then if you decide to stay on after that, the payments stop & nothing has to be paid back. Or so I thought!!

[Riponian]

" Do you have any idea what happens to child trust funds, are they frozen until the 18th birthday or can I keep paying into it? Cheers"

 

from what i know of through the bank that the fund is held, we can contribute for 5 years then you have to freeze. however, I may be wrong as this applied in December. it is also the same for private pensions, once left UK you can pay into it for up to 5 years and £3200 pa, then you either freeze or transfer to Oz fund.

 

From what I found out the trusts funds just stay in the kids names until they are 18 and you can still contribute to them.

 

With regards to tax benefit, I think if your temp you can have it for a year and for a limited time of 12 weeks but I just cancelled mine felt like the right thing to do.

[taffordbark]

You are correct and i have spoken to hmrc to confirm this,most peole assume there is a 12 week policy,,whereas in fact it is 12 months!

[Guest k8bug79]

I know that the line states that you have to be UK resident unless you are on diplomatic duties or BFPO, or a UK company that has relocated you beyond your control to another country. (I think). COuld she be any of those? I spoke with tax credits to find out how it works if/ when we move, as they usually take everything only on the day it changes and I had no desire to be calling in the middle of night from Aus to try and get them to finalise the ward (we all know how efficient they are so 10 phone clals later no doubt) and they said they have a team who deals with this sort of thing. SO I guess maybe start speaking with them once you have a better idea of what is happening.

 

Remember child benefit has very little contact with you and would therefore assume you are entitled to it until you contact them to say you are not. So you would be in line for a hefty bill if you carried on when youw eren't alloweed, and child benefit is a different department from tax credits.

 

Re the trust fund, it stays open but you won't get the one off government payments whilst you are not a UK resident/ However, and how legit this is, I know people on here and PIO have said they ahve been advised by the banks to change the address to their parents/ families homes, and then the payments will go to their address? But I guess that works on the principle that its auotomatic and they never check up on it?????

[Guest k8bug79]

Just found this on child trust fund website

Q. What happens to the CTF account when children move away from the UK? Will a child lose the CTF account if they leave the UK?

A. The account will remain open and family and friends will be able to continue saving in the account. It is possible to make payments into CTF accounts from abroad. No further Government contributions will be made while the child is away from the UK (e.g. at age 7).

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Q. If a child returns to the UK after their 7th birthday will they get the age 7 payment?

A. The child needs to be living in the UK on their 7th birthday to get this payment. They will not get it if they move to, or return to, the UK after their 7th birthday.

[Sears Family]

Child Benefit info - looks like payment is just for Temps, which makes sense!

 

http://www.hmrc.gov.uk/childbenefit/ch5_notes.pdf

[Sears Family]

Also this website makes it clear (sorry dont know how to add to previous post!

How changes can affect your Child Benefit payments : Directgov - Money, tax and benefits