Tax credit limits

Changes to Tax Credits

If you are working and responsible for at least one child you may be able to claim Child Tax Credits. If you are working but on a low income (you can be self employed) you may also qualify for Working Tax Credit. You can qualify for both.  

Universal Credit will eventually replace Working and Child Tax Credits. Universal Credit is gradually being rolled out across the country so depending on where you live and what your personal circumstances are you may be able to claim Universal Credit instead of Working and Child Tax Credit. You will need to check with your local Job Centre Plus to find out when you will transfer to a Universal Credit area.

Who can claim Tax Credits?

Working Tax Credits

You can only make a new claim for Working Tax Credit if either of the following apply:

  • you don’t live in a Universal Credit area
  • you or your partner qualify for Pension Credit

If you can’t make a new claim for Working Tax Credit, you’ll usually need to apply for Universal Credit instead.

Eligibility depends on your age and how many hours of paid work you do a week. Your income and circumstances will also affect how much you get:

Your age - You must be 16 or over to qualify. You must be 25 or over if you don’t have children or you don’t have a disability.

Hours you work - You must work a certain number of hours a week to qualify.

 

Circumstance

Hours a week

Aged 25 to 59

At least 30 hours

Aged 60 or over

At least 16 hours

Disabled

At least 16 hours

Single with 1 or more children

At least 16 hours

Couple with 1 or more children

Usually, at least 24 hours between you (with 1 of you working at least 16 hours)

Child Tax Credits

You may be able to claim Child Tax Credit if you’re responsible for children either:

  • aged 16 or under - you can claim up until 31 August after their 16th birthday
  • under 20 and in eligible education or training

You don’t need to be working to claim Child Tax Credit. Only one household can get Child Tax Credit for a child.

What you’ll get

The amount you can get depends on how many children you’ve got and whether you’re:

  • making a new claim for Child Tax Credit
  • already claiming Child Tax Credit

Child Tax Credit won’t affect your Child Benefit. You can only claim Child Tax Credit for children you are responsible for

There will be no change to the rights and status of EU nationals living in the UK or UK national living in the EU, while the UK remains in the EU.

If you're making a new claim

You can make a new claim for Child Tax Credit if one of the following applies:

  • you don’t live in a Universal Credit area
  • you have 3 or more children
  • you or your partner qualify for Pension Credit

If you can’t make a new claim for Child Tax Credit, you’ll usually need to to apply for

The amount you could get depends on when your children were born.

If all your children were born before 6 April 2017

You could get the ‘child element’ of Child Tax Credit for all of your children.

You’ll also get the basic amount, known as the ‘family element’.

If one or more of your children were born on or after 6 April 2017

You could get the child element of Child Tax Credit for up to 2 children. You might get the child element for more children if exceptions apply.

You’ll only get the family element if at least one of your children was born before 6 April 2017.

How to find out if you qualify?

There is an online questionnaire you can use to find out if you might qualify for Working Tax Credits. You can find this here on the Government's website.

You can also call the HMRC on 0345 300 3900 to ask for an application pack or to report a change of circumstances if you are already claiming Working Tax Credits.  

Who to talk to

You can contact your local Citizens’ Advice Bureau for support. If you are worried about paying your rent please contact Habinteg Direct.