Child Tax Credit Income Limit Calculator 2026
Calculate exactly where Child Tax Credit tapers off based on your income. The income threshold is £19,995 and CTC reduces by £1 for every £2.70 over this limit until it stops completely.
Child Tax Credit Taper Calculator
Child Tax Credit begins to reduce once your household income exceeds £19,995/year. It tapers at £1 for every £2.70 above this threshold.
Frequently Asked Questions
What is the Child Tax Credit income threshold for 2026?
The income threshold for Child Tax Credit is £19,995/year for 2025/26. Below this, you receive the maximum award. Above it, CTC reduces by £1 for every £2.70 of excess income.
How much is Child Tax Credit per child in 2026?
Child element: £3,235/year per child. Family element: £545/year (one per family). Disabled child element: £3,905/year (additional). Severely disabled child: £1,575/year (further addition).
At what income does Child Tax Credit stop completely?
CTC stops when the reduction (income minus £19,995 ÷ 2.70) equals your maximum CTC award. For a family with 2 non-disabled children (max award £7,015), CTC stops at approximately £38,936.
Can I still claim Child Tax Credit in 2026?
Most new claimants cannot claim Child Tax Credit — they must claim Universal Credit instead. You can only claim new CTC if you were already receiving it before the UC rollout in your area. Existing claimants will be migrated to UC.
What is the two-child limit in tax credits?
The child element of CTC is limited to 2 children for children born after 6 April 2017, unless a 'third or subsequent child exception' applies (multiple births, non-consensual conception, etc.).
How does income change affect CTC?
If your income increases, you can earn up to £2,500 more than your previous year's income without affecting your award (the income disregard). For larger increases, you must report the change within 1 month.
Is Child Tax Credit the same as Child Benefit?
No — Child Benefit is a separate payment not means-tested (though the High Income Child Benefit Charge applies above £60,000). Child Tax Credit is means-tested and being phased out in favour of Universal Credit.
Do I need to report my income change to HMRC?
Yes — you must report income changes within one month if your income increases by more than £2,500, you change jobs, your hours change, or your circumstances change. Failure to report can result in overpayments.