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HMRC internal manual

Tax Credits Manual

From
HM Revenue & Customs
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Changes - work (left job): Left main job, started new main job within seven days

Checklist

Before you follow this guidance make sure

  • you follow the guidance in TCM0138020
  • check the Unprocessed Change of Circs work list for any outstanding entries and make a note of any information you require to clear the work item. Follow the guidance in TCM0054060 to clear the item on the Unprocessed Change of Circs work list only
    • Note: If the Unprocessed Change of Circumstances work list item is the same as the change you’ve been notified of, delete the work list item and continue with this guidance.
  • you have the correct user roles to follow this guidance. 
  • a change can be made. Follow the guidance in TCM0042260
  • you are in the correct MU. Use TCM0322460.

Reasons not to follow this guidance

You do not need to follow this guidance if

  • the customer is not starting a new main job
  • the customer is starting a new main job outside of seven days.

Required information

Obtain the following information from the source (for example, customer, employer)

  • end date of old job
  • number of paid hours in old job
  • start date of new job
  • number of paid hours in new job
  • employer’s reference number (if appropriate)
  • new employer’s name
  • new employer’s address
  • Unique Taxpayer Reference (UTR) number (if the new job is self-employed).

Guidance

Note: when sending customer, staff or process data to another individual or team, make sure you follow the latest data security guidelines or contact the Data Guardian / Data Security Team for advice.

Step 1

If you are unable to trace the customer

  • take no further action

If you are dealing with a four-week run-on referral from a Contact Centre or a paper change of circumstances, go to .

If you are dealing with a reply from a customer in response to our enquiry for further information, go to .

If you are dealing with an expired BF because the customer has not replied to our enquiry

  • use the information the customer supplied or the date the customer notified us of the change as the date the customer’s job ended
  • go to .

If you are dealing with any other reason, go to .

Step 2

Check you have got the following details

  • date the old job ended
  • total number of paid hours in old job and any other remaining jobs
  • total number of paid hours for other remaining jobs
  • start date of new main job
  • total number of paid hours in new main job and any other remaining jobs
  • new employer’s reference number
  • payroll reference (if available)
  • employer’s name and address
  • Unique Taxpayer Reference (UTR), if self-employed. For how to do this, use TCM1000365.

If the correct end date and four week run on has already been applied

  • enter the benefit start date after the four-week-run-on date.  For how to do this, use TCM1000093

 

  • update Household Notes with the appropriate message.  For how to do this, use TCM1000001
  • take no further action

If you have got all the details, go to .

If you have conflicting details, go to .

If you have not got all the details

  • phone the customer to obtain the end date. Follow the guidance in TCM0094080
    • Note: If you’re dealing with any other changes make sure you have all the information you need to apply to apply the other changes as well. Follow the relevant Changes guidance.
  • go to .

Step 3

Check PAYE/SA for customer end date.

If you are able to obtain end date, go to .

If you are unable to obtain the end date, go to .

Step 4

If you contact the customer and they provide the missing information, go to .

If you are not able to contact the customer by phone

  • send form TC664 requesting the missing information
  • set a clerical date for 30 days in the future
    • Note: When calculating 30 days in the future, do not include postal strikes and public bank holidays in the calculation.
  • go to .

If you contact the customer by phone but they are not able to provide the information

  • send form TC664 requesting the missing information
  • set a clerical date for 30 days in the future
    • Note: When calculating 30 days in the future, do not include postal strikes and public bank holidays in the calculation.
  • go to .

Step 5

If the claim is pre-award

  • update Application Notes with the appropriate message, either NC83 or NC85 from TCM0164020. For how to do this, use TCM1000028
  • take no further action.

If the claim is post award

  • update Household Notes with the appropriate message, either NC83 or NC85 from TCM0164020. For how to do this, use TCM1000001
  • take no further action.

Step 6

Check the status of the claim. For how to do this, use TCM1000025.

If the claim is pre award

  • enter the details of the change on the free format screen. For how to do this, use TCM1000036
  • update Application Notes with the action you have taken. For how to do this, use TCM1000028
  • take no further action

If the claim is post award, go to .

Step 7

Check the status of the award. For how to do this, use TCM1000101.

If the claim has been ceased or terminated because of one of the four-week run-on exceptions

  • check for exception changes within the four-week run-on period. For how to do this, use TCM1000353
  • follow the guidance in TCM0228040
  • take no further action.

If the claim has been rejected, ceased or terminated and the customer’s new circumstances mean they may now qualify for tax credits

Note: Claims made on or after 6 April 2012 may be backdated up to 31 days.

Note: Claims made prior to 6 April 2012 may be backdated up to 93 days.

Note: Before you can invite a fresh claim, you must check whether the household is in a closed postcode area to prevent new claims being issued to working age households in these areas.  The exception to this is for those households that contain an individual of Pension Credit Qualifying Age (PCQA), as these will be allowed to claim tax credits.  Following the guidance in TCM0044080 will take you through the necessary steps.

  • invite the customer to make a fresh claim. Follow the guidance in TCM0044080
  • take no further action.

If the claim has not been rejected, ceased or terminated

  • as no entitlement to four week run on enter the date the customer has provided for the old hours end date, in the hours end date field
  • enter the new main job details. For how to do this, use TCM1000355
    • Note: If the customer has not provided an end date, use the date the customer notified us of the change, as advised earlier in the guidance end the job using the date the customer has provided. For how to do this, use TCM1000354.
    • Note:Customers with short gaps between jobs can continue to be treated as in remunerative work provided the gap does not exceed 6 days. The hour’s history must be amended to cover the period between the old job ending and the new job starting. For example, the customer ends one job on 18/10/2013 and starts a new job within 7 days on 21/10/2013. The hours worked history should be amended to cover the gap with the old hours with a start date of 19/10/2013 and an end date of 20/10/2013.
  • go to .

Step 8

Note: From 6 April 2012, if a customer tells us within a month about a change of circumstances that increases the maximum rate of tax credits they are entitled to, their award can be amended from the date of the change. For changes notified after one month their award can only be amended one month prior to the date the change was notified.

If the start date of the new job occurred within one month of today’s date

  • apply any other changes you have been notified. Follow the relevant Changes guidance
  • complete amend finish screen. For how to do this, use TCM1000032
  • go to .

If the start date of the new job occurred more than one month before the today’s date but the customer notified us of the change within one month go to .

If the start date of the new job occurred more than one month before today’s date and the customer failed to notify us of the change within one month, go to .

Step 9

Note: From 6 April 2012, if a customer tells us within a month about a change of circumstances that increases the maximum rate of tax credits they are entitled to, their award can be amended from the date of the change. For changes notified after one month their award can only be amended one month prior to the date the change was notified.

Note: If a change is notified that does not alter or decreases the maximum rate of tax credits the claimant is entitled to, it will be applied from the date of the change.

Consider whether the change in hours will increase the maximum tax credits award (that is, before any income changes are applied). For how to do this, use TCM1000347.

If the change in hours results in an increase in the maximum tax credits award (before any income changes)

  • record a period of hours at the old weekly hours rate in worked hours history, to cover the gap between the end date of the old hours and the include from date of the new hours, use TCM1000364
  • apply any other changes you have been notified. Follow the relevant Changes guidance
  • complete amend finish screen. For how to do this, use TCM1000032
  • go to .

If the change in hours does not result in an increase in the maximum tax credits award (before any income changes)

  • the change can be backdated more than one month as the customer notified us within one month of the change or the change does not result in an increase to the customer’s maximum tax credit award
  • amend the include from date for the new hours to the same date as the start date shown for the new hours. For how to do this, use TCM1000364.
  • apply any other changes you have been notified. Follow the relevant Changes guidance
  • go to .

Step 10

Note: If the work change applies to more than one tax year, you must complete your action for each tax year affected, once you have followed the guidance in TCM0042260.

Note: Any changes you have made will not be applied until you complete the ‘Amend Finish’ screen.

If a warning message displayed and you had to pass the case to a Level 2 user or your manager, take no further action.

If a warning message displayed and you were able to make the change

  • update Household Notes with the appropriate message. For how to do this, use TCM1000001
  • go to .

If a warning message did not display

  • update Household Notes with the appropriate message. For how to do this, use TCM1000001
  • go to .

Step 11

If you have been working from a work list

  • delete the work list item. For how to do this, use TCM1000160
  • take no further action.

If you have been working a WAM referral

  • put the WAM referral in confidential waste
  • take no further action.

If you have been working an electronic referral

  • delete from the database
  • take no further action.

If you have been working a piece of correspondence

  • send the documents to storage, follow the guidance in TCM0074140
  • take no further action.