HB calc & fostering…

Hi Everyone and happy Friday..!!

Just wanted to run something past you, as not sure of the rules on this..

Just seen a client who officially fosters her Grandson through the LA. She receives income:

£67.50 CB JSA
£49.99 Child tax credit
£126 foster allowance (I understand disregarded for HB)

Her rent is £79.12. and she is receiving £45.33 HB.. Is it right she is not entitled to child benefit..?
As without this, the child appears to be hidden in HB calc..? However if he is put on as a dependant, the calc shows full HB entitlement..

She is not getting CB.. She says she is not entitled to this,..

Based on this sketchy info, does this look correct to you all..?

Thanking you in advance

Di

Can she claim CB?  Not if the child is being “looked after” by the LA.

If the LA are contributing towards the child’s maintenance or accommodation then she shouldn’t be getting CTC either.  However, HMRC treat foster carers as being in remunerative work and so they can claim WTC.

And “looked after children” are not treated as part of the foster carer’s household because the LA is legally responsible for the children under the terms of the Children Act 1989.

She was definate that she is receiving £49.99 CTC, do you think this is more likely to be WTC then Nevip..??

Probably, CTC should be nearer to £60 pw rather than £50, assuming no other income.  But it would be worth checking though.

She went on CB JSA in Oct 11.. This will end Oct 12.. The WTC (?) is still presumably being paid due to previous employment - is this likely to end in April..??

All tax credit awards end at the end of the financial year and have to be renewed.

Thanks so much for your help.. x