The Child Tax Credit Regulations 2002

Rule 4

4.1.  A child or qualifying young person shall be treated as not being the responsibility of any person during any period in which any of the following Cases applies.

Case A	The child or qualifying young person is provided with, or placed in, accommodation under Part III of the Children Act 1989(1), Part II of the Children (Scotland) Act 1995(2) or Part IV of the Children (Northern Ireland) Order 1995(3), and the cost of that child’s or qualifying young person’s accommodation or maintenance is borne wholly or partly— (i) out of local authority funds under section 23 of the Children Act 1989 or section 26 of the Children (Scotland) Act 1995, (ii) in Northern Ireland, by an authority, within the meaning in Article 2, and under Article 27, of that Order, or (iii) out of other public funds. This Case shall not apply in the circumstances prescribed in regulation 3 of the Child Benefit (General) Regulations 1976(4), or regulation 3 of the Child Benefit (General) Regulations (Northern Ireland) 1979(5).
Case B	The child or qualifying young person— (i) is being looked after by a local authority, and (ii) has been placed for adoption by that authority in the home of a person proposing to adopt him, and a local authority is making a payment in respect of the child’s or qualifying young person’s accommodation or maintenance, or both, under section 23 of the Children Act 1989, section 26 of the Children (Scotland) Act 1995 or Article 27 of the Children (Northern Ireland) Order 1995. This Case applies in Northern Ireland with the modification that for references to a local authority there are substituted references to an authority (within the meaning in Article 2 of that Order).
Case C	A custodial sentence— (a) for life, (b) without limit of time, (c) of detention during Her Majesty’s pleasure, (d) in Northern Ireland, of detention during the pleasure of the Secretary of State, or (e) for a term or period of more than four months, has been passed on the child or qualifying young person.
Case D	The child (having attained the age of sixteen) or qualifying young person claims and is awarded child tax credit in his or her own right, in respect of a child for whom he or she is responsible, for that period.

(2) Where—

(a) a claimant is treated as responsible for a child or qualifying young person by virtue of the preceding Rules, and

(b) the child or qualifying young person has a child of his or her own, normally living with him or her,

the claimant shall also be treated as responsible for, and as having made a claim for child tax credit in respect of, the child of the child or qualifying young person (but without prejudice to the facts as to which of them is mainly responsible for that child).

(1)

1989 c. 41.

(2)

1995 c. 36.

(3)

S.I. 1995/7559 (N.I. 2).

(4)

S.I. 1976/965: regulation 3 was substituted by regulation 3 of S.I. 2000/2891.

(5)

S.R. 1979 No. 5.