Working Tax Credits - Changes

Before April 2012, couples responsible for children, with one partner working at least 16 hours a week could get Working Tax Credit.

From 6 April 2012, the rules for couples with children have changed. Single people who are responsible for children (for example single parents) are not affected by the new rules.

If you're a couple with children, your joint working hours now usually need to be at least 24 a week to qualify.

This means:

• if you both work your joint weekly hours must be at least 24, with one of you working at least 16 hours a week
• if only one of you works, that person must be working at least 24 hours a week

If neither of these applies, your Working Tax Credit will probably stop from 6 April 2012.

Date published 5 Dec 2012

This article is intended to inform rather than advise and is based on legislation and practice at the time. Taxpayer’s circumstances do vary and if you feel that the information provided is beneficial it is important that you contact us before implementation. If you take, or do not take action as a result of reading this article, before receiving our written endorsement, we will accept no responsibility for any financial loss incurred.