The weekly Working Families Tax Credit allowance
is:
- Basic adult credit (sum per household) £62.50
- 30 hours credit (if one partner works 30 hours or more per
week) £11.65
- credit for each child according to age:
birth to 16 years £26.45
16-19 (full time education) £27.20
- disabled child tax credit £35.50
- child enhanced disability credit £46.75
- adult enhanced disability credit. £16.25
Childcare Tax Credit
Can be claimed if both parents are working 16 hours per week
(unless one is receiving disability benefit), and are paying
childcare fees to an 'eligible provision' (i.e. for children under
8, one which is registered with the Childrens Act, and for children
over 8, one which is accredited by a recognised quality assurance
scheme).
The amount of the credit is 70% of childcare fees, up to the
following maximums:
- if one child, maximum fees are £135, therefore maximum credit @
70% = £94.50
- if two or more, maximum fees are £200, therefore maximum credit
@ 70% = £140.00
- If household earnings (i.e. pay net of tax, less pension
contributions) are less than £94.50 per week, then the full amount
of WFTC is payable (i.e. the sum of all the elements above which
you qualify for). However, 55 pence is taken off the full amount
for every £1 earned above the £94.50 threshold.
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