Tax free childcare

HMRC have published two draft statutory instruments on the Tax-Free Childcare scheme together with a commentary on the regulations, for comment by 3 October 2014 say Harris & Co accountants Northampton #accountantsnorthampton

The first statutory instrument contains the detailed rules concerning eligibility for the scheme, and the second contains the detailed rules on the operation of the scheme.

The Tax-Free Childcare scheme, set to launch in autumn 2015, will provide 20 per cent support for childcare costs up to £10,000 per year for each child. Parents with children under the age of 12 will qualify for the scheme if all parents in a household are in work, earn less than £150,000 a year, and are not already receiving support through tax credits or Universal Credit.

The draft statutory instruments and commentary note are available from HMRC.