Tax credits customers need to tell HMRC about any changes in their circumstances or income by Friday 31 July 2020.

Tax credits help working families with targeted financial support. Unlike other benefits, tax credits usually have to be renewed each year as the amount of money received depends on how much money earned in the previous year.

Not everyone has to renew their tax credits every year – but if you are required to and you fail to respond to HMRC on time, you could receive incorrect payments, have payments stopped altogether, or may have to pay back any overpayments, as well as a penalty.

How to renew tax credits

Tax credits can be renewed online by logging onto GOV.UK to check the progress of their renewal, and find out when they will hear back from HMRC.

Customers can also use the HMRC smartphone app to:

• renew their tax credits
• check their tax credits payments schedule
• find out how much they have earned for the year.

While most tax credit awards will be renewed automatically in 2020, the self-employed who have not filed their tax return for the 2019/2020 tax year, those in receipt of taxable social security benefit, or those who have other income may need to review their total household income and tell HMRC if the income held is incorrect.

Angela MacDonald, HMRC’s director general for customer services, said: “Tax credits provide much needed financial support to our customers. But we know many leave it to the last minute to renew their tax credits award.

“The time to renew your tax credits is now, you don’t need to wait until deadline day on 31 July.”

HMRC has warned that criminals could take advantage of tax credits renewals to text, email or phone the public, offering fake support.

If someone texts, emails or calls claiming to be from HMRC, saying you can renew a tax credits award or access financial help, and asks for credit card or bank details, it’s likely to be a scam.

Tax credits will gradually be replaced by Universal Credit.