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Claiming tax credits and disability benefits

If you are claiming disability benefits for yourself or your child, you may qualify for extra tax credits on top of the other benefits you are getting.

How much will you get?

In this tax year (6 April 2008 to 5 April 2009), on top of your basic tax credits you could get:

  • £2,405 a year, that is around £46 a week, if you are disabled
  • £3,425 a year, that is around £66 a week, if you are severely disabled
  • £2,540 a year, that is around £49 a week, if your child is disabled
  • £3,560 a year, that is around £68 a week, if your child is severely disabled

The amount of tax credits you are paid depends on other income you have coming in. The higher your income, the lower your tax credits payments.

To find out more about how much you might get, call the Tax Credit Helpline on Tel 0845 300 3900 (or textphone 0845 300 3909) or use our calculator.

Find out how much you might be entitled to using our tax credits calculator

Understand how your tax credit payments are worked out

Working out your income

When you make a claim for tax credits your income is worked out by adding together things like wages, interest on savings and some benefits.

Benefits that don't count towards your income

These disability benefits don't count towards your income when your tax credits are worked out:

  • Disability Living Allowance
  • Attendance Allowance
  • Incapacity Benefit (if you've been claiming for 28 weeks or less)

Benefits that do count towards your income

These disability benefits do count towards your income when your tax credits are worked out:

  • Incapacity Benefit (if you've been claiming for more than 28 weeks)
  • Carer's Allowance

More about which state benefits you need to report when making a tax credits claim

Benefits that might be reduced if you start getting tax credits

Disability benefits like Disability Living Allowance, Attendance Allowance and Incapacity Benefit won't be reduced when you start getting tax credits.

Other benefits you or your partner might be getting, such as Carer's Allowance, should not be affected by your tax credits.

However, some benefits will be reduced if your income goes up and you will need to report any increase in income you have when you start getting tax credits.

Council Tax Benefit and Housing Benefit

Council Tax Benefit and Housing Benefit will probably be reduced if your income increases. You should let your local council know as soon as you start getting tax credits.

But make sure your local council knows that you, or someone in your family, is disabled. You are entitled to more money when they work out your Council Tax and Housing Benefit.

Find your local council on Directgov

Contact us

You can contact our Tax Credit Helpline on Tel 0845 300 3900 or textphone 0845 300 3909 (open from 8.00 am to 8.00 pm, seven days a week except Christmas Day, Boxing Day and New Year's Day).

More useful links

How to claim tax credits

Find out about financial support for disabled people on Directgov

Information on caring for someone on Directgov

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