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30.12.2022 - 18:09 / dailyrecord.co.uk
HM Revenue and Customs (HMRC) recently confirmed that Tax Credit payments will be changing for all benefit claimants in the new financial year which runs from April 6, 2023 to April 5, 2024. The annual rates and threshold increase will come into effect from April for everyone receiving Working Tax Credits and Child Tax Credits payments.
Depending on your household circumstances, you may be eligible for one or both payments, or you may also qualify for one of two types of disability element add-ons. However, it’s worth noting these are for existing claimants already receiving the legacy benefit and any new claims should be made through the Department for Work and Pensions (DWP) for Universal Credit.
The latest figures from HMRC show that in 2020 to 2021, there were approximately two million families claiming Child Tax Credit and/or Working Tax Credit with some 3.7m children in Tax Credit claiming families.
Working Tax Credit is paid to people who are in work and on a low income – it does not matter whether you are an employee or self-employed, and you do not need to have children to get the payment.
Child Tax Credit is paid to people who have children and is paid in addition to Child Benefit and the Scottish Child Payment - you do not have to be working to receive it.
Here are the details of the proposed new payment thresholds and rates for the 2023/24 financial year.
You can read the full list of proposed payment rate and threshold changes on the GOV.UK website here.
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