Tax Credits

Like this page? Share it with your friends

TAX CREDITS

If you are looking at Tax Credits and reviewing or planning your finances, please feel free to contact us. We can discuss your specific circumstances to help you plan tax efficiently.

Working Tax Credit

Rates	2018/19	2019/20	2020/21	2021/22	2022/23
Basic element	£1,960	£1,960	£1,995 plus £1,000 COVID element	£2,005 plus £500 COVID element	£2.070
Couple and lone parent element	£2,010	£2,010	£2,045	£2,060	£2,125
30 hour element	£810	£810	£825	£830	£860
Disabled worker element	£3,090	£3,165	£3,220	£3,240	£3,345
Severe disability element	£1,330	£1,365	£1,390	£1,400	£1,445

Childcare Element of Tax Credit

Rates	2019/20	2020/21	2021/22	2022/23
Maximum eligible cost for one child	£175 per week	£175 per week	£175 per week	£175 per week
Maximum eligible cost for two or more children	£300 per week	£300 per week	£300 per week	£300 per week
Percentage of eligible costs covered	70%	70%	70%	70%

Child Tax Credits Rates

Rates	2018/19	2019/20	2020/21	2021/22	2022/23
Child Tax Credit Family	£545	£545	£545	£545	£545
Child element	£2,780	£2,780	£2,830	£2,845	£2,935
Disabled child element	£3,275	£3,355	£3,415	£3,435	£3,545
Severely disabled child element	£4,600	£4,715	£4,800	£4,825	£1,430

Tax Credits Income Thresholds

Rates	2018/19	2019/20	2020/21	2021/22	2022/23
First income threshold	£6,420	£6,420	£6,530	£6,565	£6,770
First withdrawal rate (per cent)	41%	41%	41%	41%	41%
First threshold for those entitled to Child Tax Credit only	£16,105	£16,105	£16,385	£16,385	£17,005
Income rise disregard	£2,500	£2,500	£2,500	£2,500	£2,500
Income fall disregard	£2,500	£2,500	£2,500	£2,500	£2,500

Child Benefits Rates (Weekly)

Rates	2018/19	2019/20	2020/21	2021/22	2022/23
Eldest Only Child	£20.70	£20.70	£21.05	£21.15	£21.80
Other Children	£13.70	£13.70	£13.95	£14.00	£14.45

Guardian’s Allowance Rates (Weekly)

Rates	2018/19	2019/20	2020/21	2021/22	2022/23
Guardian's Allowance	£17.20	£17.60	£17.90	£18.00	£18.55

Disclaimer : This website and its contents have been produced as a helpful reference point. The information should be used as a guide only and your specific circumstances are best discussed directly with us.

No reliance should be placed on this material and no action should be taken without seeking the appropriate professional or legal advice. Although the authors make reasonable efforts to ensure the content of this website is accurate and up-to-date, the authors make no representations, warranties or guarantees that the content is accurate, complete or up-to-date and accept no responsibility whatsoever for any loss occasioned by anyone acting on information without this website.

Our service to you

If you are a self employed, business owner/director of company looking to get your accountancy and taxation matters sorted, look no further. We are pro-active and easily accessible accountants and tax advisors, who will not only ensure that all your filing obligations are up to date with Companies House and HMRC, but also you do not pay a penny more in taxes than you have to. We work on a fixed fee basis and provide same day response to all your phone and email enquiries. We will also allocate a designated accounts manager who would have better understanding of your and business financial and taxation affairs. Book a free consultation call using the link below.

Get further information from the following pages;

Universal Credits

Income Tax Rates

Income Tax Allowances