Claim Tax Credits say MPs                                                                                                   

Local MPs Harry Cohen and Neil Gerrard joined Chancellor Gordon Brown last week to encourage people in Leyton & Wanstead and Walthamstow to claim the Government's new tax credits.

The MPs said: "We are delighted to be with Gordon Brown in promoting the extra help families and lower income working people will be able to get. Since 1997 the Government has supported families through record increases in child benefit, and the introduction of the national minimum wage, Working Families Tax Credit and Children's Tax Credit."

"From next April, the current tax credits will be replaced by the Child Tax Credit and the Working Tax Credit. There will be a more streamlined and improved system extending help to people who currently do not qualify."

"Because the Child Tax Credit doesn't depend on being in paid work, student nurses and students will qualify for the first time; and because the Working Tax Credit is not dependent on having children - like the Working Families Tax Credit – more low paid people will get extra help."

"Anyone who is eligible will need to apply for the new tax credits. Find out if you are eligible and how much you could get by calling the helpline on 0800 500 222 or applying on-line at Inland Revenue Tax Credits ."

HOW THE CREDITS WILL WORK

The Child Tax Credit, together with child benefit, will guarantee:

£54.25 a week for the first child for the 25 per cent of families with an income of less than £13,000 a year

£26.50 a week for the first child for the 85 per cent of families with an income of less than £50,000 a year

The Working Tax Credit will extend the principles of the WFTC and Disabled Person's Tax Credit to people aged 25 and over without children or a disability. Together, the new tax credits mean a minimum income of:

£37 a week for a family with one child and one earner working full time on the minimum wage

£179 a week for a family with one child and one earner working part-time on the minimum wage

£183 a week for a single earner couple without children, aged 25 or over working full time on the minimum wage

£154 a week for a single person without children, aged 25 or over working full time on the minimum wage

October 2002

Home Page     |     News & Views     |     Press Archive