Working for Families Tax Credits
When assessing Income Related Rent the Working for Families Tax Credits included in the calculation are:
- a portion of the family tax credit and
- the full amount of minimum family tax credit
If an applicable person has dependent children and they are entitled to get these payments, then these payments are included in the calculation of Income Related Rent.
If the child is not dependent then they are not considered as a child for whom the family tax credit and the minimum family tax credit is paid.
The in-work tax credit and Best Start tax credit paid by Inland Revenue are not assessable income for Income Related Rent and Housing affordability assessments (and therefore are not included in the calculation).
Family tax credits paid weekly or annually by Inland Revenue
A weekly amount of family tax credit and the minimum family tax credit is included in the calculation of the rate of Income Related Rent, regardless of whether the tenant chooses to have it paid to them weekly or annually.
