Tax Credit Cuts in 2011 Budget

New Levels Tax Credits from 1 January 2011

Existing            Proposed

Employee Tax Credit 1,830                 1,650

Personal Tax Credits – single 1,830              1,650

Personal Tax Credits – married 3,660            3,300

Widowed person bereaved in year of assessment 3,660                 3,300

One Parent Family Tax Credit 1,830                 1,650

Home Carer Tax Credit 900                        810

Dependent Relative Tax Credit 80                  70

Incapacitated Child Tax Credit 3,660            3,300

Blind Persons Credit – single 1,830               1,650

Blind Persons Credit – married (both blind) 3,660            3,300

Additional credit for certain widowed persons 600           540

Widowed Parent Tax Credit:

– year 1 4,000 3,600

– year 2 3,500 3,150

– year 3 3,000 2,700

– year 4 2,500 2,250

– year 5 2,000 1,800

Age Credit1 – single 325        245

Age Credit1 – married 650       490