I initially posted this info in the wrong forum and it was moved here. However, it seems to have been lost so I shall re-post in case it is of any use (and with todays updated info).
Basically, we found out a couple of weeks ago that I, as a UK born citizen, will receive child tax credits for my USC step daughter (here on dependent visa with hermother n a spouse visa). However, I have also found out, a coupe of days ago, that we shall also be entitled to child benefits. I am not sure if this is common knowledge here so forgive me if it is.
Now, today I have found out that my working tax credit award has been quite seriously delayed as the inland revenue try to match up my daughter with the child benefits department. This they cannot do of course as we haven't claimed yet due to the assumption that child benefit would be classed as 'public funds'. So, the upshot is, I will have to send the childs birth certificate and passport to the inland revenue - which I cannot do until they send me a letter requesting it, even though I know and they know that this info is all that is delaying my tax credit award. Crazy eh?
Bear in mind that the child benefit can take up to 26 weeks for a foreign born child to process and that they will need the same original documents as the inland revenue. So, if you find yourselves in this situation - i.e. USC married to a UKC with a USC child in the mix, make sure you apply for child benefit as soon as possible. Call them first and find out exactly what you need to do, send them to correct documents via secure and recorded delivery, and then prepare to do the same for your working tax credits.
I hope all of this makes sense. If not feel free to PM me. It should be known that child benefit will only be backdated for three months, regardless of how long it takes to process the claim. We are just glad to be entitled though to be honest. Every little helps. Please note - ALWAYS check all details yourself with the relevent body/office/department. I am not an expert in these matters, just an everyday joe passing on my own experience to date.
Have a good christmas one and all.