Changes to Working Tax Credits Claimants

From April 2015, Self Employed Working Tax Credit (WTC) claimants will need to meet new criteria.

From 6th April 2015, all new claimants who are using self-employed work to meet the qualifying remunerative work test for WTC must show that they are trading on a commercial basis and their business is done with a view to achieving profits.  The self-employment should also be structure, regular and ongoing.

Self-employed WTC claimants with earnings below a threshold (this will be based on working hours and the National Minimum Wage) will be asked by HMRC to provide evidence that they are in a regular and organised trade, profession or vocation on a commercial basis and with a view to achieving a profit.