Section 48 and Schedule 18: Powers to act for the protection of public health: Northern Ireland Section 77: Up-rating of working tax credit etc
This section increases the rate of the basic element of Working Tax Credit, providing additional support to claimants to help them manage the economic impacts of the COVID-19 pandemic. The section replaces the annual rate of £1,995 which had been due to take effect from 6th April 2020 with a higher amount. The increased rate will apply for the 2020/2021 tax year only.
Subsection (1) increases the rate of the basic element of Working Tax Credit from £1,995 to £3,040.
Subsection (2) provides for the increase to have effect for the 2020/2021 tax year, i.e. from 6th April 2020 to 5th April 2021, only. It also provides that the rate on which the Treasury will base its review is £1,995.
Subsection (3) contains a consequential amendment which provides that the benefit rates on which the Secretary of State will base their review will be the 6th April 2020 baseline rates.
	The territorial extent and application of this section is England and Wales, Scotland, and Northern Ireland, except for subsection (3) which extends and applies to England and Wales and Scotland only.