Tax credit error costs families with disabled children £4,400 a year
‘Thousands of families with disabled children have lost out on up to £4,400 a year in tax credits after an administrative blunder by the authorities.
The error in processing their claims meant an estimated 28,000 families whose children qualified for disability living allowance (DLA) during 2011-14 missed out on an additional tax credit premium of between £60 and £84 a week.
The government revealed in the autumn statement this week it has set aside £360m over six years to ensure these families receive child disability tax credits in future. However, the payments will be backdated only to April, meaning individual families may have lost out on entitlements totalling up to £20,000 over the past five years.’
Read more: Tax credit error costs families with disabled children £4,400 a year
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