Tax Credits

There are two tax credits – child tax credit and working tax credit. You can claim one or both of them, depending on your household circumstances.

Working tax credit is paid to people who work and are on a low income – it does not matter whether you are an employee or self-employed, and you do not need to have children. Child tax credit is paid to people who have children. It is paid in addition to child benefit and you do not have to be working to get it.

Tax credits are administered by HM Revenue & Customs.

Latest updates

New Court of Appeal judgment (3 November 2017) - In Arthur v Revenue and Customs [2017] EWCA Civ 1756, the Court of Appeal considers the approach to take when determining if a person is ‘ordinarily resident’ in the United Kingdom in the context of determining whether a joint tax credit claim is required from a couple under section 3(3) of the Tax Credits Act 2002 >> More tax credit case law

New Upper Tribunal decision (21 September 2017): CTC/2861/2016 - Regulation 13 of the Working Tax Credit (Entitlement and Maximum Rate) Regulations 2002 must be read in order not to deprive a claimant of social advantage in EU law >> More tax credit case law

New Upper Tribunal decision (20 September 2017): CTC/862/2017 - Amendments made by the Working Tax Credit (Entitlement and Maximum Rate) (Amendment) Regulations 2015 do not apply to previous tax years >> More tax credit case law

New Upper Tribunal decision (19 September 2017): CTC/982/2017 - Whether information provided in response to HMRC enquiry - challenge to HMRC disentitlement decision under s.18 TCA 2002 - need for the tribunal to scrutinise HMRC case with ‘studied scepticism' >> More tax credit case law

New Upper Tribunal decision (23 August 2017): CTC/585/2017 - Considers issues relating to self employment for working tax credit purposes, including whether claimant’s trade was 'on a commercial basis', 'with a view to the realisation of profits' and 'regular and organised' >> More tax credit case law

New Upper Tribunal decision (16 August 2017): CTC/3617/2016 - Matters to consider when tribunals exercise discretion to set or alter the level of a tax credit penalty >> More tax credit case law

New regulations (26 July 2017) - Tax Credits (Exercise of Functions in relation to Northern Ireland and Notices for Recovery of Tax Credit Overpayments) Order 2017 (SI.No.781/2017) - New regulations issued in relation to the recovery of overpayments of tax credits in Northern Ireland consequent on the roll out of universal credit >> More tax credit legislation

Consolidated legislation (14 July 2017): We've just added new consolidated versions of the Tax Credits Act 2002 and more than 40 tax credit statutory instruments courtesy of LexisNexis.

New Upper Tribunal decision (5 July 2017): CTC/3228/2015 - Impact on a section 16 appeal to the First-tier Tribunal of HMRC making a section 18 decision >> More tax credit case law