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HMRC internal manual

Tax Credits Technical Manual

Continuation of certain exceptions

Tax Credits Act 2002, Section (3B)

The Child Tax Credit Regulations 2002, Reg.14.(1)(2)(3)(4)(5)(6)(7)

 

Note: Please make sure you have read TCTM02283 before reading any further.

An exception can continue to apply to a child or qualifying young person ‘A’ if

  • No other exception applies in relation to A

          and

  • The claimant, or at least one of the joint claimants, is A’s step-parent (referred to as ‘C’ for the purposes of defining the relevant circumstances for the continuation of an exception)

          and

  • One of the continuation exceptions applies:

Continuation of a CTC exception

 

  • ‘C’ has previously been entitled to CTC jointly with the parent of ‘A

           and

  • Immediately before that joint entitlement ceased, a multiple birth, adoption or non-consensual conception exception applied to ‘A’,

           and

  • Since that joint entitlement ceased, C has continuously been entitled* to CTC (in a single or joint award

        

         Note: If the multiple birth exception had applied to ‘A’,

  • The claimant, or either or both of the new joint claimants, is or are responsible for one or more other child or qualifying young person born as a result of the same pregnancy as A

          and

  • ‘A’ was not the first in the order of these children TCTM02284

‘A’ will continue to be treated as a CTC exception.

 

Continuation of a corresponding exception, applied for the purposes of another benefit

 

An exception can also continue to apply if, within the 6 months immediately preceding the day on which the relevant CTC entitlement began

  • ‘C’ was entitled to an award of universal credit as a member of a couple jointly with a parent of A

          or

  • ‘C’ and a parent of A were a couple and either of them was entitled to an award of income support or old style JSA

          and

  • Immediately before that joint entitlement ceased, an exception corresponding to the multiple birth, adoption or non-consensual conception CTC exception applied to ‘A’

          and

  • C has been continuously entitled* to the relevant CTC entitlement
      Note: If the multiple birth exception had applied to ‘A’,

         and

  • The claimant, or either or both of the new joint claimants, is or are responsible for one or more other child or qualifying young person born as a result of the same pregnancy as A

   
        and

  • ‘A’ was not the first in the order of these children TCTM02284

‘A’ will continue to be treated as a CTC exception.

 

Or

 

  • ‘C’ was entitled to an award of universal credit (whether or not as a member of a couple jointly or with another person)

           or

  • ‘C’ was entitled to an award of income support or old style JSA (whether or not C was in a couple** with another person)

           and

  • Immediately before that entitlement ceased, an exception corresponding to the multiple birth, adoption or non-consensual conception CTC exception applied to ‘A’

          and

  • C has been continuously entitled* to the relevant CTC entitlement
      Note: If the multiple birth exception had applied to ‘A’,

         and

  • The claimant, or either or both of the new joint claimants, is or are responsible for one or more other child or qualifying young person born as a result of the same pregnancy as A

          and

  • ‘A’ was not the first in the order of these children TCTM02284

‘A’ will continue to be treated as a CTC exception.

 

Notes: For the purposes of the continuation of certain exceptions

 

  • *Relevant CTC entitlement is continuous, despite any interruption to that entitlement of less than 6 months
  • **couple has the same meaning at Part 1 of the Welfare Reform Act 2012