I took a call today from a client who is in receipt of WTC/CTC and the childcare element of WTC.
Her present employment ends on the 31st march 2007. She has secured new employment but does not know the start date. She was expecting it to start on the beginning of April, but it looks like there may well be a delay, and it could be 3 or 4 weeks if not longer.
Will she have to end her tax credit claim altogether and then reapply, and make a claim for IS? She is a lone parent.
She will still have childcare costs even if she doesn't use her present childminder, as she doesn't want to give the months notice to her childminder as she wants to continue using her.

If she starts her new job at the end of April, will she be able to continue with her current award, as she will still be getting an April pay cheque (if that makes sence?)

Any help gratefully received. Cannot find this scenario anywhere.

A little to my surprise, Reg 8 of the Working Tax Credit (Entitlement and Maximum Rate) Regs 2002 indicates that 'a person shall be treated as being engaged in qualifying remunerative work for the requisite number of hours if he has been so engaged within the past seven days'. The implication being that if the gap is any longer, a new claim will be required..

On the other hand, not sure what the pros and cons would be if she just carried on with the award as it stands.

She will not have to end her claim - she will have to report her change of circumstances to the TC helpline and as the previous post indicated, if the break between the two jobs is more than seven days then WTC entitlement, including the childcare element will cease during the period without employment, but CTC entitlement continues throughout so the award continues. If your client is eligible to claim IS in the period without employment, then it is advisable she does so, but when the new job starts she just has to phone the TC helpline to give the new work details for the TC award to be amended (and of course notify IS).

Thank you both for your information. It's been very helpful.