Tax credits

  2019/20 2018/19
Basic element £1,960 £1,960
Couple and lone parent element £2,010 £2,010
30 hour element1 £810 £810
Disabled worker element £3,165 £3,090
Severe disability element £1,365 £1,330
Maximum eligible cost for one child £175 p.w. £175 p.w.
Maximum eligible cost for two or more children £300 p.w. £300 p.w.
Percentage of eligible costs covered 70% 70%
Child tax credit family element £545 £545
Child element £2,780 £2,780
Income threshold £6,420 £6,420
Withdrawal rate 41% 41%
First threshold for those entitled to child tax credit only £16,105 £16,105
Income rise disregard £2,500 £2,500
Income fall disregard £2,500

£2,500

Limit child element in tax credits and Universal Credit

The Child Element of tax credits and Universal Credit is no longer awarded for third and subsequent children born after 6 April 2017. Multiple births and other exceptional circumstances will be protected from the two children limit.

Join us, we’re social

Click here to follow us on Twitter and Facebook and discover the lighter side of accounting at Lakeview.