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Emma Durrant - One of of OFSTED’s approved childminders and an NCMA Children Come First Network member. Based in Benfleet.
Child Tax Credit and the Childcare Element of Working Tax Credit
Tax credits can help families with children or those who need help paying for childcare. Nine out of ten families with children are eligible for the new tax credits. Child Tax Credit is paid into the bank account of the main carer - the person who is mainly responsible for looking after the children. Families on incomes of up to £58,000 a year (or £66,000 a year if there is at least one child who is less than a year old) can benefit from the new Child Tax Credit whether or not they are working. This money acknowledges and supports the costs of bringing up children.
Childcare element of Working Tax Credit
Working Tax Credit is an in-work tax credit for families, and includes an element to support the costs of registered or approved childcare for working parents.
To qualify for support, the childcare must be:
Tax credits can help families with children or those who need help paying for childcare. Nine out of ten families with children are eligible for the new tax credits. Child Tax Credit is paid into the bank account of the main carer - the person who is mainly responsible for looking after the children. Families on incomes of up to £58,000 a year (or £66,000 a year if there is at least one child who is less than a year old) can benefit from the new Child Tax Credit whether or not they are working. This money acknowledges and supports the costs of bringing up children.
Childcare element of Working Tax Credit
Working Tax Credit is an in-work tax credit for families, and includes an element to support the costs of registered or approved childcare for working parents.
To qualify for support, the childcare must be:
• registered childminders, nurseries, play-schemes, pre-school playgroups, holiday clubs or out of school clubs;
• schools or other establishments that are exempt from registration;
• providers of childcare for children aged 8 or over, who are approved by accredited organisations; or
• approved home carers.
To apply for the childcare element of the Working Tax Credit
• Lone parents must work at least 16 hours a week.
• Both members of a couple must work 16 hours a week or more.
• Or one member of a couple must work 16 hours a week or more and the other member must be incapacitated.
The Childcare element will pay up to 80% of eligible childcare costs up to a maximum:
• £140 (80% of £175) per week for one child; and
• £240 (80% of £300) per week for two or more children.
The childcare element of the working tax credit will be paid into the bank account of the main carer alongside the child tax credit.
Contacts and resources
The Tax Credit Helpline: 0845 300 3900 (local call rate) - 8.00am-8.00pm
Website: www.inlandrevenue.gov.uk/taxcredits
The Tax Credit Helpline: 0845 300 3900 (local call rate) - 8.00am-8.00pm
Website: www.inlandrevenue.gov.uk/taxcredits