These tax credits pertain to families with dependent children aged 18 years or younger.
If the tax credits are more than the person’s income tax liability, they will be refunded to the taxpayer.
Working for Families tax credits are made up of the following:
- Family tax credit – credits of tax paid for each dependent child.
- In-work tax credit – for couples who work at least 30 hours per week between them.
- For sole parents who work at least 20 hours per week.
- Parental tax credit – For working families with a newborn child who do not receive parental leave or income-tested benefits.
- Minimum family tax credit – ensures a minimum annual family income for families falling below the threshold.
The Working for Families tax credits are administered by Inland Revenue except for taxpayers who receive an income-tested benefit. Work and Income will make their payments to them.
For more information please call us on 09 373 4544 or visit https://www.ird.govt.nz/working-for-families
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