DISABLED Persons Tax Credit Questions Answered
There is a new form of tax credit being introduced from April 2003 to find out more follow this link
I have heard that there is a new type of payment that can top up the wages of working families. I am disabled and claim Income Support for my husband and daughter. He has been offered a full time job but the wages are quite low so we don't know if it would be worth our while coming off benefits.
Disabled Persons Tax Credit has been replaced by the new working tax credit, which can be found by following the link above.
You can apply for two tax credits, Child Tax Credit and Working Tax Credit - payable from April 2003. The general rule is that to qualify for tax credits you must be aged 16 or over and usually live in the United Kingdom. You may also qualify if you do not live in the UK but you are
* A citizen of another country in the European Economic Area (EEA) and you work in the United Kingdom, or
* A Crown Servant posted overseas, or
* A citizen of a country in the European Economic Area (including the UK) living abroad and you receive a UK state pension or contributions-based Jobseeker's Allowance.
Couples must make a joint tax credits application. If you are part of a couple, you cannot decide to apply as a single person.
Child Tax Credit is for people who are responsible for at least one child or qualifying young person. Child Tax Credit is paid direct to the person who is mainly responsible for caring for the child or children. If you are a lone parent you will receive the payment.
Working Tax Credit is for people who are employed or self-employed (either on their own or in a partnership), who
* usually work 16 hours or more a week
* are paid for that work, and
* expect to work for at least 4 weeks
and who are
* aged 16 or over and responsible for at least one child, or
* aged 16 or over and disabled, or
* aged 25 or over and usually work at least 30 hours a week
Working Tax Credit is paid to the person who is working 16 hours or more a week. Couples, if both of you are working 16 hours or more a week, must choose which one of you will receive it. You cannot receive Working Tax Credit if you are not working.
As part of Working Tax Credit you may qualify for help towards the costs of childcare. If you receive the childcare element of Working Tax Credit, this will always be paid direct to the person who is mainly responsible for caring for the child or children, alongside payments of Child Tax Credit.
The amount of tax credits you receive will depend on your annual net profit.