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HMRC internal manual

Tax Credits Technical Manual

Changes of circumstances: Effective Dates of Changes in Circumstances - Disability and severe disability elements of CTC

Disability element of CTC - Backdating

The Tax Credits (Claims and Notifications) Regulations 2002, Reg 26A

This legislation was changed on 6 April 2009. If you are dealing with a change of circumstances about backdating the disability element of CTC where the child or QYP is disabled or severely disabled and notification of that change was received before 6 April 2009, you must follow the guidance at TCTM05330 .

Where a notification is given of a change of circumstances which results in an award of the disability or severe disability rate of the disability element of CTC  and the notification is received within 1 month of the decision on entitlement to DLA or Disability Assistance (in Scotland) (TCTM02220), the award can be backdated longer than one month.

The element can be backdated to;

  • the first date from which DLA or Disability Assistance is payable; (See Example 1) or
  • if later, the date falling one month before the claim for DLA or Disability Assistance is made; (See Example 2) or
  • if later, the date that the current claim for CTC is made (or treated as made under regulation 7 of the Tax Credits (Claims and Notifications) Regulations; (See Example 3)

Example 1

A person has been in receipt of CTC since April 2003. They make a claim for DLA for their child on 13 October 2018. Entitlement to DLA was decided on 4 June 2019 and was payable from 13 October 2018. The claimant notifies HMRC within one month of this decision being made. The disability element of CTC can be backdated to 13 October 2018, i.e. the date the DLA became payable.

Example 2

A person has been in receipt of CTC including the disability element for their child since April 2003. They make a claim for the highest rate care component of DLA for their child on 13 October 2018. Entitlement to the highest rate care component of DLA is decided on 4 July 2019 and the decision was that the benefit was payable from 19 May 2018. They notify HMRC within one month of this decision being made. The severe disability rate of the disability element of CTC can be backdated to 13 September 2018, i.e. the date falling one month before the claim for the benefit was made.

Example 3

A person makes a claim for DLA for their child on 13 February 2018. Their child was born on 18 August 2017 but they did not make a claim for CTC until 17 May 2019, which was backdated to 17 April 2019. Entitlement to DLA was decided on 4 June 2019 and was payable from 13 February 2018. They notify HMRC within one month of this decision being made. The disability element of CTC can be backdated to 17 April 2019, i.e. the date that the current claim for CTC was treated as being made.