Universal Credit and tax rebate - how is UC being deducted?

jaq245

Hi!

I'm currently on UC and waiting for a cheque from HMRC with my tex refund (previous employment).

I know already, that they deduct the money from UC, but how does this exactly happen? Is it deducted automatically or I need to cash my cheque first? Or I need to declare it? What happens if I don't?

Thank you for your help!

poppy123456

Hi and welcome,

There will be no need to report the tax rebate because DWP will already know you've received it.

jaq245

Hi, thank you for your answer.
But will they know when I receive a cheque from HMRC or when I cash the cheque?

poppy123456

They will know you've received it.

janer1967

Hi and welcome

As advised they will only know that you have received it as they do not have access to your bank account other than to make your payments

Let us know if there is anything else we can help you with 

jaq245

Okay, thanks a lot for your help
 All the best guys

Chloe_Alumni

Welcome to the community @jaq245! I'm glad others have been able to help.