What is Child Tax-Credit?

Child tax credit is for those who take care of any children eligible for child benefit (under the age of 16 or up to 20 if they're in full-time education or registered with the careers service). Importantly, you don't need to be working.

Child Tax Credit will be replaced by Universal Credit.

Eligibility

If your household income is £16,105 or below you'll get the maximum amounts. If you earn above this, your tax credits award will be reduced by 41 pence for every £1 you earn. As how much you can get depends on your personal circumstances, it's always best to use a benefits calculator to see how much you might be entitled to.

If your child is disabled

You may get extra Child Tax Credits if the child:

• gets either: Disability Living Allowance, Personal Independence Payment or Armed Forces Independence Payment.

• is certified blind (or was within 28 weeks of your tax credits claim)

Kinship carers and adoptive parents

Changes to the two-child limit (which limits tax credits and universal credit to two children in a family in many circumstances) now means kinship carers and adoptive parents are exempt from the limit in all circumstances. The complete removal of the policy is still being actioned for.

How to claim

Claiming Child Tax Credits (GOV.UK)

If you are already claiming tax credits and your circumstances change make sure you inform HMRC as it could affect the amount of tax credit you receive.

What is Working Tax Credit?

Working Tax Credit is a top up to wages for people aged over 16 who are on low incomes. You could get Working Tax Credit if either of the following apply:

• you’re aged from 16 to 24 and have a child or a qualifying disability

• you’re 25 or over, with or without children

Eligibility

To be eligible for Working Tax Credit you must:

• work a certain number of hours a week

• get paid for the work you do (or expect to)

• have an income below a certain level

To assess your full eligibility for Child Tax Credit you will need to use the Tax Credits Calculator (GOV.UK)

If you pay for Childcare

If you pay for childcare (must be Ofsted registered childcare) then you may be eligible for an extra amount of money. Working parents maybe able claim up to 70% of their childcare costs . To find out more use the Tax Credits Calculator (GOV.UK) or phone the Tax Credit Helpline on 0345 300 3900.  

How to Claim

Claiming Working Tax Credit (GOV.UK)

If you are already claiming tax credits and your circumstances change make sure you inform HMRC as it could affect the amount of tax credit you receive.