CCM6210 - Particular Aspects: Child Care – Entitlement to Child Care Element

Entitlement to WTC may include an element for child care charges (the child care element). The child care element is associated with WTC, not CTC, as it is intended to help parents with the child care costs they incur to put themselves in a position to work.

You should remember that there is an over-riding requirement that claimants should first satisfy the WTC criteria before their entitlement to the child care element can be determined. For example, you may have taken up an examination or enquiry because of doubts about the payments for child care. But if you satisfy yourself that the claimant(s) has met the criteria for entitlement to the child care element, but obtain information which shows they do not in fact meet the minimum qualifying hours test, they will not be entitled to the child care element. This is because they will not qualify for WTC, of which it is a part.

In other words:

• To qualify for the child care element the claimant must be 16 or over
• A single claimant must be in qualifying remunerative work for 16 hours or more a week
• Couples claiming jointly must be either:
  
  
• • Both in qualifying remunerative work for 16 hours or more a week or
  • One is in qualifying remunerative work for 16 hours or more a week and the other is:

For an explanation of:

• Remunerative work, see CCM6610
• Qualifying hours and calculating the number of hours worked, see CCM6630
• Incapacitated or having a limited capability for work, see CCM6230.

A claimant who is already a parent can claim:

• WTC if they worked at least 16 hours before going on ordinary maternity, ordinary adoption or paternity leave
• from April 2004, the WTC childcare element to help with the costs of eligible childcare for the new baby/child as well as for other children in the family. (For claims for the year 2003/04, claimants could not claim for the cost of childcare for the new child, but could claim the childcare element for the costs of childcare for any other child in the family.)

A claimant who is becoming a parent for the first time can claim:

• WTC before the baby/child arrives if they were aged 25 or over and worked at least 30 hours a week before going on ordinary maternity, ordinary adoption or paternity leave
• from April 2004, the WTC childcare element from the child’s date of birth or placement for adoption if they worked at least 16 hours before going on ordinary maternity, ordinary adoption or paternity leave. (For claims for the year 2003/04 childcare element for the new baby/child was not available.)

A self-employed claimant is treated as being in qualifying remunerative work during a period that would be classed as ordinary maternity, ordinary adoption or paternity leave if they were an employee as long as they meet the work requirement before the ‘leave’ began.