Working tax credit

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Working Tax Credit
What is Working Tax Credit
Working Tax Credit (WTC) is a payment for people who are working and on a low income. Working Tax Credit is paid by HM Revenue and Customs (HMRC) directly into your bank or building society account, or into a post office card account. Who can get Working Tax Credit
You can get WTC if you or your partner is working enough hours a week and your income is low enough. You must be living in the UK. If you are from abroad, you may have difficulty claiming WTC depending on your immigration status. If you aren't sure about your right to claim WTC because of your immigration status, get help from an experienced adviser. There are a number of different ways you can qualify for WTC, depending on your circumstances: If you're single or in a couple, and have no children
If you're 25 or over and work 30 hours a week or more
You may get WTC if you're 25 or over and work at least 30 hours a week.
Whether you qualify will depend on your income. You don't have to have a
child in order to claim, but you do have to work enough hours.
If you're 60 or over and work at least 16 hours a week
If you're 60 or over and work at least 16 hours a week, you may get WTC.
If you're disabled
If you're 16 or over and disabled, you may get WTC provided you work at
least 16 hours a week, your income is low enough and you get one of the
qualifying benefits because of your disability. HMRC may also apply a test
which looks at how your disability or illness affects your chances of finding
work.
The qualifying benefits include:
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 Industrial Injuries Disablement Benefit with Constant Attendance  national insurance credits awarded because you have been unable  income-related or contributory Employment and Support Allowance. There are rules about how long you have to have been getting some of these benefits before you claim WTC. If you're disabled and you're not sure whether you qualify for WTC, you should get help from an experienced adviser. If you're single and you're responsible for a child
If you're 16 or over and responsible for a child or young person, you can get WTC provided you work at least 16 hours a week and your income is low enough. Someone counts as a child until 1 September following their 16th birthday. A young person is someone who is 16, 17, 18 or 19 and still in full-time education up to A level or equivalent, or on certain approved training courses. You're responsible for a child or young person if they normally live with you or you have the main responsibility for their care. If you're responsible for a child, you may be able to get Child Tax Credit as well as WTC or instead – see Further help at the end of this fact sheet. If you're in a couple and you're responsible for a child
If you're in a couple and you are responsible for a child or young person, you can qualify if:  you are 16 or over and you or your partner work at least 16 hours a
week and the two of you work at least 24 hours a week between
you in total. For example, you can meet this condition if you work 16
hours a week and your partner works 8 hours a week, or
 you are 16 or over and you work at least 16 hours a week and you
are disabled and you get a qualifying benefit, or
 you are 16 or over and you work at least 16 hours a week and your
partner is a hospital in-patient or entitled to Carer's Allowance or in prison or getting certain disability benefits, or  you are 60 or over and you work at least 16 hours a week.
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How Working Tax Credit is calculated
To work out whether you're entitled to WTC and how much you can get,
HMRC will look at how much income you've got. If your income is low enough,
you will get the maximum amount of WTC (and Child Tax Credit if this
applies). This will depend on your circumstances.
The maximum amount of WTC you can get is calculated by adding together
different elements which are based on your circumstances. These elements
are:
The basic element. This applies to anyone who is entitled to WTC.
The second adult element. This applies if you're claiming as a member of a
couple. You have to claim as a couple if you live with a partner. This includes
same-sex partners as well as opposite-sex partners.
The lone parent element, if you're a single person responsible for a child or
young person.
The 30 hour element, if you work 30 hours a week or more. If you're claiming
as a couple with children, you can add your hours together to qualify for this
element, but you'll only get one 30 hour element between you.
The disability element. This applies if you're disabled, get certain benefits
and you work at least 16 hours a week (you can get a disability element if
your partner qualifies for it, or two disability elements if you both qualify). The
severe disability element applies if you get the highest rate care component
of Disability Living Allowance, the enhanced rate of the daily living component
of Personal Independence Payment, the higher rate of Attendance Allowance,
or Armed Forces independence Payment. You can also get the severe
disability element for your partner, if they qualify.
A childcare element which you can get if you pay for childcare provided by a
registered childminder, out-of-school club or other approved provider.
If your income is too high, this will affect the amount of WTC you can get.
The tax credit calculation is complicated. You can use an online questionnaire
from HM Revenue and Customs (HMRC) to find out whether you qualify and
how much you could get. Go.
You can also get help from an experienced adviser.
How long is working tax credit paid for
Tax credits are awarded for a complete tax year. A tax year runs from 6 April
to 5 April the following year. If you claim after 6 April, your award will run from
the date you claim to the end of the tax year. If your circumstances change
during the period of your award, you should tell HMRC as soon as possible,
as your tax credit entitlement could be affected.
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How to apply for Working Tax Credit
To apply for WTC, contact the tax credit helpline for an application pack. The application form for your first claim is Form TC600. The helpline number is 0345 300 3900 (textphone 0345 300 3909) and calls cost the same as a local telephone call. Further help
Citizens Advice Bureau
Citizens Advice Bureaux give free, confidential, impartial and independent
advice to help you solve problems. To find your nearest CAB, including those
, or look under C in your
phone book.
Other information on Adviceguide which might help
 Benefits and tax


This fact sheet is produced by, an operating name of The
National Association of Citizens Advice Bureaux. It is intended to provide
general information only and should not be taken as a full statement of the law.
The information applies to England, Wales and Scotland only.
This fact sheet was last updated on 9 September 2013 and is reviewed
regularly. If it is some time since you obtained this fact sheet, please contact
your local Citizens Advice Bureau to check if it is still correct. Or visit our
website -you can download an up-to-date
copy.
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Source: http://www.adviceguide.org.uk/england/b_working_tax_credit.pdf