Child Tax Credit
Help with affording childcare - child tax credit.
Tax credits can help families with children or those who need help paying for childcare. Nine out of ten families with children are eligible for the new tax credits.
Child Tax Credit is paid into the bank account of the main carer - the person who is mainly responsible for looking after the children.
Families on incomes of up to £58,000 a year (or £66,000 a year if there is at least one child who is less than a year old) can benefit from the new Child Tax Credit whether or not they are working. This money acknowledges and supports the costs of bringing up children.
How do I claim (for both)?
You can claim tax credits by completing and returning a claim form. To order a tax credits claim pack, please telephone the Helpline on 0845 300 3900 (textphone 0845 3003909). Lines are open every day from 8.00am to 8.00pm.
What information will I need in order to claim?
It would be useful to have the following to hand you when you complete the claim form:
- National Insurance Number (NINO).
- Child Benefit reference number.
- Statements of interest on savings.
- P60 or wage slips (if employed) for the last tax year.
- Self-employed - Unique tax reference number and income documents.
- Total amount of taxable Social Security benefits received in the last tax year.
- Childcare provider information including the amount you pay.
- Bank / building society account and address details
You can claim two tax credits, Child Tax Credit and Working Tax Credit. The general rule is that to qualify for tax credits you must be aged 16 or over and usually live in the United Kingdom. You may also qualify if you do not live in the UK but you are:
- A citizen of another country in the European Economic Area (EEA) and you work in the United Kingdom.
- A Crown Servant posted overseas.
- A citizen of a country in the European Economic Area (including the UK) living abroad and you receive a UK state pension or contributions-based Jobseeker's Allowance.
- Couples must make a joint tax credits claim. If you are part of a couple, you cannot decide to claim as a single person.
- Child Tax Credit is for people who are responsible for at least one child or qualifying young person.
- Child Tax Credit is paid direct to the person who is mainly responsible for caring for the child or children. If you are a lone parent you will receive the payment.
- Child Tax Credit can be paid to workers who continue to pay UK National Insurance Contributions when posted from the UK to work in another country in the European Economic Area.
Working Tax Credit is for people who are employed or self-employed (either on their own or in a partnership), who:
- Usually work 16 hours or more a week
- Are paid for that work, and
- Expect to work for at least 4 weeks and
- Who are aged 16 or over and responsible for at least one child, or
- Aged 16 or over and disabled, or
- Aged 25 or over and usually work at least 30 hours a week
Working Tax Credit is paid to the person who is working 16 hours or more a week. Couples, if both of you are working 16 hours or more a week, must choose which one of you will receive it. You cannot receive Working Tax Credit if you are not working.
As part of Working Tax Credit you may qualify for help towards the costs of childcare. If you receive the childcare element of Working Tax Credit, this will always be paid direct to the person who is mainly responsible for caring for the child or children, alongside payments of Child Tax Credit.
The amount of tax credits you receive will depend on your annual income. Click Do I qualify to find out how much you might get.
Contact and Resources
Websites
Find out more about how tax credits can help and how much you should get. Parents can apply online and follow a simple guide to see if they are eligible: tax credits inland revenue