There are a number of issues wrapped up when a couple is going through the process of divorce in the UK. Many people are observed to be so stuck with the issues that revolve around this matter that they totally lose focus to think about the shared benefits and what will happen to them after getting the divorce or separation. When it comes to the time of a child, it seems quite possible for a child to split the child with the parents over an alternate week. However, what will be the matter with child tax credits in shared custody? Splitting time between the mother and father over the alternate week is easier for the child to stay closer to both of them.
However, there are still some financial issues that can come up in such a scenario, especially about shared child custody. This is because of the fact that shared custody will not let you share the child’s benefits. It becomes a serious issue if one of the parents is dependent on the child’s benefits and takes it as a source of income. The primary caregiver will get the child’s benefits. In the case of having more than one child, the responsibility and benefits can be shared but one child benefits can not be given to both.
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What are Child Tax Credits
Child tax credits are known to be the amount that parents used to get in order to help with the cost they spent on bringing up a child, however, later child tax credits were replaced with the universal credit. Moreover, there are still some exceptional cases that are accepted by the government of the UK to consider child tax credits. Having a child with a severe disability is one of the common examples of these exceptions.
Moreover, if an individual is in the role of being the primary caregiver of a child who is under the age figure 16, you are in a good position to make a claim for the child benefits unless your child turns sixteen. In the case, your child is still in a training programme and getting the degree, you will be considered eligible to claim the benefits till your child turns 20. When it comes to universal credit, is applicable to people who are living with a low income or are unemployed. So this kind of financial support is given to them to meet their basic living expenses.
Who is Eligible to Get the Child Tax Credits in Shared Custody?
As discussed earlier the universal tax credit has taken the place of child tax credits and is dealt with according to the laws now. If you aim to claim the benefits, you are obliged to own the legal custody of the child. You will also have to provide proof of being the primary caregiver of the child. This further explains that the day-to-day needs of the child are your responsibility to fulfil.
Moreover, when it comes to shared custody, according to the law there is no permission granted for splitting the benefits. You are allowed to claim one child and take responsibility. If the custody is shared, it often becomes quite complicated to decide who will get the claim of child benefits.
What is the Process to Claim Child Tax Credits in Shared Custody?
Once you have gathered the required information, you come to the stage of finally getting beginning the claim process. This makes several people wonder about how to claim the child tax credits especially the cases of shed child custody. The process will depend a lot on the difference in your circumstances. It will become a lot easier if you have decided with your ex-partner about who will take the child custody and how the child benefits will be handled.
What are the Required Documents to Support Your Claim?
Once everything is sorted out, you will be required to fill in the online application. In case if being interested in the paper form, you can use the posting medium to complete the process. This is imperative to realize that if you post the application, this will take a little longer than the online form to process. There is another requirement to provide certain documents along with the application. This is to get information about your financial and personal circumstances. The required documents can possibly include the following:
- The details of childcare cost
- Email address
- The information related to your bank account
- Declaration of all the income sources and investment
- Wage slips or bank statements to prove your income details
- Detail of the housing system and the amount of rent per month or per week
What is the Procedure to Get Paid?
Once the procedure is complete, the parent who is awarded the benefits will get the amount in the relevant bank account on a monthly basis. You will have to renew the application every tax year. This is required when you are observing any changes in your circumstances, you will have to change the details and renew the claim to get the right amount of benefits on time.
Takeaway
This becomes quite a challenging procedure when you have children and still, you have to take the decision of separating ways from your partners. Claiming child benefits is also one of the struggles during this stage. There are several professionals that can help you to sort out things in this regard and you can initiate the procedure with clarity of mind.
The Bottom Line
Now that you have gathered a fair amount of information about child tax credits in shared custody, we can bring the discussion towards wrapping up. There is no doubt that child benefits are really helpful in order to raise a child whether you are a single parent or not. However, you must be aware of the eligibility criteria to get the maximum out of it. We hope these few minutes of reading will help you to develop a better understanding of what is child tax credits in shared custody and how to handle them to get the maximum benefits.
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Disclaimer: The information about child tax credits in shared custody provided in this blog includes text and graphics of general nature. It does not intend to disregard any of the professional advice.