Child Tax Credit - Are You Eligible And How Much Can You Claim?

In the world today, raising kids can sometimes be demanding, particularly when funding is tight. Kids are constantly going to need something, whether it's new clothes or materials for a school project. Managing to find enough cash can sometimes be impossible. However, there are government benefits available for low income and struggling families which will help to lighten the stress in tight money situations.

One of these benefits is the Child Tax Credit, which was established in order to give relief to families and caregivers of college students and school age kids to make sure that children can have the things they need. This has proved to be especially helpful to low income households who have kids younger than 16 or a young person that is still in full-time education.

This particular Tax Credit is based on the number of children in your household and also considers your total household income. In addition to getting an overall tax credit, you also can claim a specific amount of child benefit for each child who lives in your house. The children don't have to be related to you, although you must be the primary carer and the children must live in your house.

Claiming the Child Tax Credit is extremely simple. When you first inquire, you'll have to order a claim pack. Additionaly, you'll have to give proof of your identity, which can be as easy as providing your national insurance number. Once you get approved, you can renew your Child Tax Credit by phone or postal service. This needs to be done annually and you will receive notification when it is time to renew.  It's important to report any modifications to your situation such as changes in family size and earnings. If you do not report changes, you might end up having to pay back the tax credits you have received.

You can receive Child Tax Credits in numerous ways. You can either have the child allowance paid on a weekly or monthly basis, and it can be placed in any bank account you wish. Children's Tax Credits needs to be transferred to the main caretaker's bank account and can be received by cheque, which is sent to the address indicated on your application. This child benefit may be claimed on top of the Working Tax Credit, a government benefit if either you or your partner are working.

If you don't get approved these benefit entitlements, or don't agree with the calculation of your tax credit, you have to right to appeal against a tax credit decision. Keep in mind, however, that this needs to be done within thirty days of the notification of denial.