Budget 2004
Miscellaneous
Tax Credits
Working Tax Credit (WTC)
Applies from 6 April 2003
| 2004/05 | 2003/04 | |
|
£
|
£
|
|
| Annual | ||
| Basic element |
1,570
|
1,525
|
| Second adult or lone parent addition |
1,545
|
1,500
|
| 30 hour element |
640
|
620
|
| Disability element |
2,100
|
2,040
|
| Severe disability element |
890
|
865
|
| Age 50+ element working 16-30 hours per week* |
1,075
|
1,045
|
| Age 50+ element working at least 30 hours per week* |
1,610
|
1,565
|
| Weekly | ||
| Childcare element | ||
| maximum eligible cost for 1 child † |
135
|
135
|
| maximum eligible cost for 2 or more children † |
200
|
200
|
Claimants can be eligible for each element
Claim reduced by 37p for every £1 of annual income over £5,060
* Mutually exclusive
†Reduced to 70% of eligible cost
Child Tax Credit (CTC)
| 2004/05 |
2003/04
|
|
|
£
|
£
|
|
| Annual | ||
| Family element (double in year of birth)* |
545
|
545
|
| Child element (per child)† | ||
| – disabled child |
3,840
|
3,600
|
| – severely disabled child |
4,730
|
4,465
|
| – any other child |
1,625
|
1,445
|
* Claim reduced by £1 for every £15 of annual income over £50,000
† Where only CTC available claim reduced by 37p for every £1 of annual income over £13,480 ( £13,230 2003/2004); £5,060 where WTC also available
Pension Credit
Introduced 6 October 2003
Payable from age 60 * subject to income levels
Two elements
- guaranteed credit, available to all aged 60 and over
- savings credit, available to those aged 65 and over who have made provision for retirement eg, savings, personal pension
|
£
|
|
| Maximum capital for pension credit to be unaffected †‡ |
6,000.00
|
| Standard amount needed for day-to-day living § | |
| – single person per week |
102.10
|
| – couple per week |
155.80
|
| Savings credit starting point qualifying income | |
| – single person per week |
77.45
|
| – couple per week |
123.80
|
| Maximum guaranteed pension credit | |
| – single person per week |
14.79
|
| – couple per week |
19.20
|
| Maximum savings credit | |
| – single person per week |
14.79
|
| – couple per week |
19.20
|
* Applies where at least one party in a couple is aged 60
† Per person, or if a couple, per couple
‡ £10,000 if living in a care home
§ May include extras for disability, carers and housing
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.
