Working Families Tax Credits
| Working Tax Credit | £ per year from 2007 – 08 | £ per year from 2008 – 09 |
|
Basic Tax Credit |
1730 |
1800 |
|
30 Hour Tax Credit |
705 |
735 |
| Couple and Lone Parent Element | 1700 | 1770 |
|
Disabled Worker Element |
2,310 |
2,405 |
|
Severe Disability Element |
980 |
1,020 |
|
50+ Return to Work Payment (16-29 hours per week) |
1,185 |
1,235 |
|
50+ Return to Work Payment (30+ hours per week) |
1,770 |
1,840 |
| Childcare Element of Working Tax Credit | £ per year from 2007 – 08 | £ per year from 2008 – 09 |
|
Maximum Eligible Childcare Tax Costs Allowed (1 child) |
175 (per week) |
175 (per week) |
|
Maximum Eligible Childcare Tax Costs Allowed (2 or more children) |
300 (per week) |
300 (per week) |
|
Percentage of Eligible Costs Covered |
80% |
80% |
See Below For
Tax Credits Table
| Child Tax Credit Rates and Thresholds | £ per year 2007 – 08 | £ per year 2008 – 09 |
| Child Tax Credit Family Element |
545 |
545 |
| Family Element, Baby Addition | 545 | 545 |
| Child Element | 2,085 | 2,235 |
| Disabled Child Element |
2,540 |
2,670 |
|
Severely Disabled Child Element |
1,020 |
1,075 |
| Income Thresholds and Withdrawal Rates | £ per year 2007 – 08 | £ per year 2008 – 09 |
| First Income Threshold |
6,420 |
6,420 |
| First Withdrawal Rate (percent) | 39% | 39% |
| Second Income Threshold | 50,000 | 50,000 |
| Second Withdrawal Rate (percent) |
6.67% |
6.67% |
|
First Threshold if Entitled to Child Tax Credit Only |
15,575 |
16,040 |
| Income Disregard | 25,000 | 25,000 |
| Child Benefit / Guardian Allowance | £ per week 2007 – 08 | £ per week 2008 – 09 |
| Eldest / Only Child |
18.80 |
20.00 |
| Other Children | 12.55 | 13.20 |
| Eldest / Only Child (Lone Parent Rate) | 17.55 | No longer available |
| Guardian’s Allowance |
13.45 |
14.10 |
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