Single Person Child Carer Credit

Up to and including the tax year 2013 the One Parent Family Credit was available to a parent (not living with a partner) and whose child lived with them for at least part of the year.

With effect from 1 January 2014, the Single Person Child Carer Credit replaces the One Parent Family Credit. This credit is different to the One Parent Family Credit in that it is primarily only available to the primary claimant i.e. the person with whom the qualifying child resides for the whole or greater part of the year. The credit can however be surrendered by the primary claimant in favour of another qualifying person i.e. the secondary claimant.

The main features of this new credit are:

1. The primary claimant is the person with whom the qualifying child resides with for the whole or greater part of the year. The primary claimant must be either the child’s parent or the individual in whose care the child is and who maintains the child at his or her own expense for the whole or greater part of the year.
2. A qualifying child is a child:
   • Who is born in the tax year, or
   • Who is under 18 years of age at the start of the tax year, or
   • Who is over 18 years of age at the start of the tax year but in receipt of full-time instruction, or
   • Who is over 18 years of age at the start of the tax year but is permanently incapacitated and was incapacitated before the age of 21 years or, if the incapacity happened after age 21, it occurred while he or she was in receipt of full-time instruction.

3. Only one credit in respect of any qualifying child may be claimed even when there is more than one qualifying child.
4. If the primary claimant gives up the credit in favour of a secondary claimant then that person may claim the credit (provided they satisfy the relevant qualifying criteria). The child must reside with the secondary claimant for at least 100 days on aggregate in the year. For the purpose of the 100 day limit, a day can include the greater part of a day.
5. Where the primary claimant surrenders his or her entitlement to the credit and he or she has more than one qualifying child, then two or more secondary claimants may be entitled to claim the credit.
6. Any surrender of the credit by the primary claimant will remain in place until such time as the primary claimant withdraws it. The credit will then be restored to the primary claimant at the beginning of the tax year following receipt of the withdrawal.
7. Where the primary claimant retains the credit, no other individual can get a credit for any of the children in respect of whom that person acts as primary claimant.
8. A claimant, whether a primary or secondary claimant must not be:
   • jointly assessed to tax as a married person or civil partner
   • married (unless separated)
   • in a civil partnership (unless separated)
   • cohabiting, or
   • widowed or a surviving civil partner in the year for which he or she is making a claim.

In view of the above, individuals who may have previously been entitled to claim the One Parent Family Credit will find from 1 January 2014 that this credit has been removed from their Notice of Tax Credits and they may not be entitled to claim the Single Person Child Carer Credit.

Revenue cannot be sure, in advance, who is entitled to the new credit. They will however automatically allocate the new credit to individuals who in accordance  with the Department of Social Protection records are in receipt of Child Benefit and who claimed the One Parent Family Credit in the tax year 2013. This is being taken on the assumption that, in line with Department of Social Protection’s guidelines in relation to parents who reside in separate households, Child Benefit is generally payable to the parent with whom the child resides for most of the time.

In all other cases, if an individual is entitled to claim the credit they may be required to complete and submit either a Form SPCC1 or SPCC2 to Revenue.