The Revenue is in the process of phasing out payment of Working Tax Credits through employers and by 31 March 2006 all such payments will be made by them direct.
New claimants are already being paid by the Revenue (since 7 November 2005). For existing claimants the move from employer to Revenue began on 7 November and will be completed by 31 March 2006.
Employers should by now have written to all affected employees (as instructed by the Revenue) to let them know of the changes being made. If you have not yet done so please talk to us urgently or phone the Revenue on 0845 300 3900.
The Revenue has also advised that stop notices should be received for all employees by 20 February 2006 at the latest. Furthermore no credits should be paid by employers to employees after the cut off date of 31 March 2006. If there is a problem with either of these points then the Revenue’s advice is to phone 08457 143 143 or of course you could speak to us.
We have to keep our fingers crossed and hope that the changeover works smoothly. Given some of the recent problems with the tax credits system we have to trust that this is possible.