According to HM Revenue & Customs, thousands of taxpayers do not realise they qualify for Working Tax Credit; many believe that it is a limited tax credit for working families. In reality, you do not have to have children to qualify for Working Tax Credit.
Am I eligible for Working Tax Credit?
Working Tax Credit is payable to people in work and on low incomes.
- If you're single; aged over 25; have no children' work at least 30 hours a
week; & earn below £13,100 a year, you're probably entitled to Working Tax
Credit.
- If you live with someone, provided your combined income is under £17,900 a
year, you may also qualify for Working Tax Credit.
- In addition, there are special rules for people with disabilities and those over 50 and returning to work - you may qualify for Working Tax Credit even if you earn more than the amounts specified above.
In 2007-08, £720 million of Working Tax Credit was paid to people without children. The average amount of unclaimed Working Tax Credit is £1,600 a year.
Many people who fail to claim are in the 50-plus age group and have experienced a fall in income.
When in doubt, telephone the HM Revenue & Customs Tax Credit Helpline at 0845 300 3900 or textphone 0845 300 3909 - the Helpline is open from 8.00 am to 8.00 pm seven days a week except Christmas Day, Boxing Day and New Year's Day.
Alternatively, visit the HM Revenue & Customs website, which has an online Working Tax Credit calculator to help you determine your eligibility.
Financial Secretary Stephen Timms, said:
"Tax credits are already benefiting hundreds of thousands of families without children. We recognise that these are challenging times and Working Tax Credits are there to help.
"I would urge anyone who thinks they might be entitled to this money to go on-line and find out for sure."
So, remember Working Tax Credit is not just a tax credit for working families - single people and couples without children can apply too!
