UK tax Credit – all you need to know about Working tax credit

Currently there are two key tax credits in the United Kingdom which are specifically intended to help those who cannot sustain a healthy and fulfilling lifestyle because the money they legally make is simply not enough to cover their basic costs. There are currently two sorts of tax credits you can apply for depending on your situation: the Working tax credit and the Child Tax credit. While working tax credit can be obtained by any one with or without children, Child tax credit can only be applied for by those who have the custody of one or more children. This time around we will be discussing the key elements of working tax credit and will enlist those who can apply for it.

The maximum amount of money one can receive in form of a working tax credit is GBP 1960 per year and the amount is paid on a bi-weekly or monthly basis by wire transfer. Be aware that the evaluation period can be up to 3 weeks long, so you need to apply on time. One can even apply before actually starting working at a workplace if they are already in the possession of their work contract and they are fully aware of the whole salary. Application can be done online and also via manually filling out and posting the application form. You will need your previous year’s tax paper and your national insurance number apart from your normal ID.

Now, let’s see who are eligible to apply for working tax credit in the United Kingdom:

Applicant must be:

Aged between 16 – 24 years old if they can prove that they have the custody of one or more children or if they have such a disability which qualifies them for benefits. They need to work at least 16 hours per week.

Aged between 25 to 29 years and are legally employed by a company where they work at least 30 working hours a week.

Have a qualifying disability, are under 60 and work a minimum of 16 hours a week.

Over 60 and wishing to go back to being part-time employed at a company. The minimum amount of working hours should be 16.

A couple who lives under the same household and who wish to apply for a working tax credit jointly because their income doesn’t reach the required minimum together. Both members of the couple must hold employment papers and should have a minimum of 12 working hours a week per 1 person.

Although there is a maximum amount and a minimum amount which is set ( with maximum being GBP 1960 and minimum being GBP 810 be aware that the evaluation is always customized and totally focused on the exact application and the applicant’s exact status, therefore it’s very hard to pre-define the exact amount which you are to receive.
Get your application paper either online or at your local tax office. For more information call the tax credits helpline number or check out the FAQ section of the official governmental website.