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Budget 2007
Tax Credits
Working Tax Credit (WTC)
| 2007/08 | 2006/07 | |
| £ | £ | |
| Annual | ||
| Basic element | 1,730 | 1,665 |
| Second adult or lone parent addition | 1,700 | 1,640 |
| 30 hour element | 705 | 680 |
| Disability element | 2,310 | 2,225 |
| Severe disability element | 980 | 945 |
| Age 50+ element working 16-29 hours per week1 | 1,185 | 1,140 |
| Age 50+ element working 30+ hours per week1 | 1,770 | 1,705 |
| Weekly | ||
| Childcare element | ||
| maximum eligible cost for 1 child 2 | 175 | 175 |
| maximum eligible cost for 2 or more children 2 | 300 | 300 |
Claimants can be eligible for each element.
Claim reduced by 37p for every £1 of annual income over £5,220.
1 Mutually exclusive
2 Reduced to 70% of eligible cost
Child Tax Credit (CTC)
| 2007/08 | 2006/07 | |
| £ | £ | |
| Annual | ||
| Family element (double in year of birth)1 | 545 | 545 |
| Child element (per child)2 | ||
| - disabled child | 4,285 | 4,115 |
| - severely disabled child | 5,265 | 5,060 |
| - any other child | 1,845 | 1,765 |
1 Claim reduced by £1 for every £15 of annual income over £50,000.
2 Where only CTC available claim reduced by 37p for every £1 of annual income over £14,495 ( £14,155 2006/2007); £5,220 where WTC also available.
The figures shown here are subject to ammendment as the Finance Bill passes through Parliament.
This information has been prepared only as a topical guide to tax and personal financial matters. No responsibility can be accepted by us for loss occasioned to any person acting or refraining from acting as a result of any material contained in this publication.
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