Draft Order laid before Parliament under sections 150(2) and 190(1)(a) of the Social Security Administration Act 1992 and section 2(4) of, and paragraphs 31 and 33 of Schedule 2 to, the Tax Credits Act 1999 for approval by resolution of each House of Parliament.

2001 No.

SOCIAL SECURITY

TAXES

The Tax Credits Up-rating Order 2001

Made2001

Coming into force10th April 2001

Whereas, the Treasury having made a review under section 150(1) of the Social Security Administration Act 19921, a draft of the following Order was laid before Parliament in accordance with the provisions of sections 150(2) and 190(1)(a) of that Act and section 2(4) of, and paragraphs 31 and 33 of Schedule 2 to, the Tax Credits Act 1999 and approved by resolution of each House of Parliament:

Now, therefore, the Treasury, in exercise of the powers conferred by sections 150 and 189(4) of the Social Security Administration Act 1992, section 132 of the Social Security Administration (Northern Ireland) Act 19922 and section 2(1)(a) and (4) of, and paragraphs 2, 4 and 20(f) of Schedule 2 to, the Tax Credits Act 1999, and of all other powers enabling them in that behalf, hereby make the following Order:

Citation, commencement and effect1.

(1)

This Order may be cited as the Tax Credits Up-rating Order 2001 and shall come into force on 10th April 2001 immediately after the Tax Credits Schemes (Miscellaneous Amendments No. 2) Regulations 20013 and the Tax Credits Schemes (Miscellaneous Amendments No. 2) (Northern Ireland) Regulations 20014.

(2)

This Order shall have effect in relation to award periods of working families' tax credit or, as the case may be, disabled person’s tax credit commencing on or after 10th April 2001.

Interpretation2.

In this Order—

“the Disability Working Allowance Regulations” means the Disability Working Allowance (General) Regulations 19915 and the Disability Working Allowance (General) Regulations (Northern Ireland) 19926;

“the Family Credit Regulations” means the Family Credit (General) Regulations 19877 and the Family Credit (General) Regulations (Northern Ireland) 19878.

Working families' tax credit3.

In the Family Credit Regulations—

(a)

in regulation 46 (determination of appropriate maximum working families' tax credit)—

(i)

in paragraph (1A)(a)9 the maximum amount specified is £100 per week;

(ii)

in paragraph (1A)(b) the maximum amount specified is £150 per week;

(iii)

in paragraph (4)10 the capital sum prescribed is £3,000;

(iv)

in paragraphs (4), (5)11 and (6), the amount specified for the credit in respect of a child or young person is NIL;

(b)

in regulation 47(1)12 (applicable amount) for the sum of £91.45 there shall be substituted the sum of £92.90;

(c)

in Schedule 413 (determination of maximum working families' tax credit) the sums prescribed shall be as set out in Schedule 1 to this Order.

Disabled person’s tax credit4.

In the Disability Working Allowance Regulations—

(a)

in regulation 51 (determination of appropriate maximum disabled person’s tax credit)—

(i)

in paragraph (1AA)(a)14 the maximum sum specified is £100 per week;

(ii)

in paragraph (1AA)(b) the maximum sum specified is £150 per week;

(iii)

in paragraph (4)15 the capital sum prescribed is £3,000;

(iv)

in paragraphs (4), (5) and (6)16, the amount specified for the allowance in respect of a child or young person is NIL;

(b)

in regulation 52(1)17 (applicable amount)—

(i)

in sub-paragraph (a) for the sum of £71.10 there shall be substituted the sum of £72.25;

(ii)

in sub-paragraph (b) for the sum of £91.45 there shall be substituted the sum of £92.90;

(c)

in Schedule 518 (determination of appropriate maximum disabled person’s tax credit) the sums prescribed shall be as set out in Schedule 2 to this Order.

Two of the Lords Commissioners of Her Majesty’s Treasury

2001

SCHEDULE 1SCHEDULE 4 TO THE FAMILY CREDIT REGULATIONS SHOWING THE SUMS SPECIFIED BY THIS ORDER

Article 3(c)

SCHEDULE 4DETERMINATION OF MAXIMUM WORKING FAMILIES' TAX CREDIT: ADULT, CHILD AND YOUNG PERSON CREDITS (EXCLUDING CHILDCARE TAX CREDIT)
(1) Adult, child or young person
(2) Amount of Credit
1.
Adult.
1.
£54.00.
2.
Adult to whom regulation 46(1)(b) applies (lone parent working, or member of a married or unmarried couple either or both of whom work, for not less than 30 hours per week).
2.
£11.45.
3.
Adult to whom regulation 46(1)(d) applies (lone parent who is, or member of a married or unmarried couple either or both of whom are, severely disabled).
3.
£16.00.
4.
Person in respect of the period beginning on, and including, that person’s date of birth and ending on the day preceding the Tuesday which first occurs in the September following that person’s sixteenth birthday.
4.
£26.00.
5.
Person in respect of the period beginning on, and including, the Tuesday which first occurs in the September following that person’s sixteenth birthday and ending on the day preceding that person’s nineteenth birthday.
5.
£26.75.
6.
Child or young person—
(a)
to whom regulation 46(1)(f)(i) applies (disabled child or young person); or
(b)
to whom regulation 46(1)(f)(ii) applies (severely disabled child or young person).
6.
(a)
£30.00; or
(b)
£41.05.

(1) Adult, child or young person	(2) Amount of Credit
1. Adult.	1. £54.00.
2. Adult to whom regulation 46(1)(b) applies (lone parent working, or member of a married or unmarried couple either or both of whom work, for not less than 30 hours per week).	2. £11.45.
3. Adult to whom regulation 46(1)(d) applies (lone parent who is, or member of a married or unmarried couple either or both of whom are, severely disabled).	3. £16.00.
4. Person in respect of the period beginning on, and including, that person’s date of birth and ending on the day preceding the Tuesday which first occurs in the September following that person’s sixteenth birthday.	4. £26.00.
5. Person in respect of the period beginning on, and including, the Tuesday which first occurs in the September following that person’s sixteenth birthday and ending on the day preceding that person’s nineteenth birthday.	5. £26.75.
6. Child or young person— (a) to whom regulation 46(1)(f)(i) applies (disabled child or young person); or (b) to whom regulation 46(1)(f)(ii) applies (severely disabled child or young person).	6. (a) £30.00; or (b) £41.05.

SCHEDULE 2SCHEDULE 5 TO THE DISABILITY WORKING ALLOWANCE REGULATIONS SHOWING THE SUMS SPECIFIED BY THIS ORDER

Article 4(c)

SCHEDULE 5DETERMINATION OF APPROPRIATE MAXIMUM DISABLED PERSON'S TAX CREDIT (EXCLUDING CHILDCARE TAX CREDIT)
(1) Claimant, child or young person
(2) Amount of Credit
1.
Single Claimant.
1.
£56.05.
2.
Claimant to whom regulation 51(1)(c) applies (member of a married or unmarried couple or lone parent).
2.
£86.25.
3.
Claimant to whom regulation 51(1)(d) applies (single claimant or lone parent who works, or member of a married or unmarried couple either or both of whom work, for not less than 30 hours per week).
3.
£11.45.
4.
Claimant to whom regulation 51(1)(e) applies (lone parent who is, or member of a married or unmarried couple either or both of whom are, severely disabled).
4.
£16.00.
5.
Claimant to whom regulation 51(1)(f) applies (severely disabled person who is neither a lone parent nor a member of a married or unmarried couple).
5.
£11.05.
6.
Person in respect of the period beginning on, and including, that person’s date of birth and ending on the day preceding the Tuesday which first occurs in the September following that person’s sixteenth birthday.
6.
£26.00.
7.
Person in respect of the period beginning on, and including, the Tuesday which first occurs in the September following that person’s sixteenth birthday and ending on the day preceding that person’s nineteenth birthday.
7.
£26.75.
8.
Child or young person—
(a)
to whom regulation 51(1)(h)(i) applies (disabled child or young person); or
(b)
to whom regulation 51(1)(h)(ii) applies (severely disabled child or young person).
8.
(a)
£30.00; or
(b)
£41.05.

(1) Claimant, child or young person	(2) Amount of Credit
1. Single Claimant.	1. £56.05.
2. Claimant to whom regulation 51(1)(c) applies (member of a married or unmarried couple or lone parent).	2. £86.25.
3. Claimant to whom regulation 51(1)(d) applies (single claimant or lone parent who works, or member of a married or unmarried couple either or both of whom work, for not less than 30 hours per week).	3. £11.45.
4. Claimant to whom regulation 51(1)(e) applies (lone parent who is, or member of a married or unmarried couple either or both of whom are, severely disabled).	4. £16.00.
5. Claimant to whom regulation 51(1)(f) applies (severely disabled person who is neither a lone parent nor a member of a married or unmarried couple).	5. £11.05.
6. Person in respect of the period beginning on, and including, that person’s date of birth and ending on the day preceding the Tuesday which first occurs in the September following that person’s sixteenth birthday.	6. £26.00.
7. Person in respect of the period beginning on, and including, the Tuesday which first occurs in the September following that person’s sixteenth birthday and ending on the day preceding that person’s nineteenth birthday.	7. £26.75.
8. Child or young person— (a) to whom regulation 51(1)(h)(i) applies (disabled child or young person); or (b) to whom regulation 51(1)(h)(ii) applies (severely disabled child or young person).	8. (a) £30.00; or (b) £41.05.

(This note is not part of the Order)

This Order is made as a consequence of a review under section 150 of the Social Security Administration Act 1992 in relation to working families' tax credit and disabled person’s tax credit.

Article 1 provides for citation, commencement and effect, and Article 2 for interpretation.

Article 3 and Schedule 1 specify the applicable amount for working families' tax credit and the amount of credits for an adult, child or young person which determines a family’s maximum working families' tax credit.

Article 4 and Schedule 2 specify the applicable amount for disabled person’s tax credit and the amount of credit for an adult, child or young person which determines the appropriate maximum disabled person’s tax credit.