Client with actual income of £12000 for 02/03 which was used in WTC assessment for 03/04.

Client then has income of £13500 for end of year 03/04. As income not increased by £2500, WTC award finalised with income of £12000.

Client's income for end of year 04/05 now £13800. As not increased by more than £2500 my question is, will it be finalised on actual income for 04/05 (£13500) or assessed income of £12000 for 04/05?

The 04-05 estimated entitlement should have been based on £13500 actual income for 03-04. As actual income for 04-05 not increased by more than £2500, 04-05 TC entitlement should be finalised at same figure, but estimated entitlement for 05-06 should be based on actual income for 04-05 (£13800).