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CHILD TAX CREDIT

 

To request a claim form or to check your eligibility, phone the Inland Revenue

                                                        0800 500 222

The following Table is an extract from the Inland Revenue.

Child Tax Credit

Published
2003-04
Annual Rates

Approximate Weekly equivalents
(£)

2004-05
Rates

Approximate Weekly equivalents
(£)

 

Family element *

545.00

10.43

545.00

10.43

 

Family element, baby addition *

545.00

10.43

545.00

10.43

 

Child element **

1,445.00

27.65

1,625.00

 

 

Disability element **

2,155.00

41.23

2,215.00

 

 

Severe disability element **

865.00

16.59

890.00

 

 

Notes

The annual amounts cannot be divided by 52 to give the weekly amounts. This is ecause tax credit awards are based on rounded daily amounts and so it must be emphasised that any illustrations of weekly figures are approximate.

* Only one family element is available per family. Families are entitled to the family element and the baby element in the first year of a child’s life.

** As well as one family element, a family will be entitled to a child element for each child for whom it has responsibility. For each child, the appropriate child elements may be added together to arrive at the maximum amount available for that child.

Common features

2003-04

£ per year

Approximate Weekly equivalents
(£)

2004-05

£ per year

Approximate Weekly equivalents
(£)

 

First income threshold

5,060.00

97.00

5,060.00

97.00

 

First withdrawal rate

37%

-

37%

-

 

Second income threshold

50,000.00

956.29

50,000.00

956.29

 

Second withdrawal rate

1 in 15

-

1 in 15

-

 

First threshold for those entitled to Child Tax Credit only

13,230.00

253.04

13,480.00

 

Warning:

The new tax credits must be claimed promptly or lost. For example, unclaimed personal allowances can be retrieved from the Inland Revenue up to six years later, but the new tax credits, like most state benefits, may only be backdated for up to three months.

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