New Forest

14/08/2019

Businesses urged to inform staff of tax-free childcare

Employers are being advised to assist employees with covering the costs of childcare, with the school holidays in full swing.

Parents who earn more than £131 a week and less than £100,000 a year are eligible for tax-free childcare.

The scheme offers up to £2,000 a year towards a child under the age of 12, or £4,000 a year for a disabled child under 17.

Eligible parents need to open an online account, and the Government will add £2 for every £8 saved up to the thresholds.

The scheme can be used to pay more than 58,000 childcare providers in the UK, including childminders, nurseries, and sports camps running this summer.

The Government has urged businesses to help employees sign up for the scheme, which may mean fewer members of staff need time off between July and September.

Statistics released by HMRC earlier this year showed parents have been slow to embrace tax-free childcare.

Despite an estimated 1.5 million families in the UK being eligible for the scheme, only around 125,000 had taken advantage of it by March 2019.

To apply for the scheme, visit: www.childcarechoices.gov.uk

For further information on Tax Free Childcare, please contact James Alesbury on 023 8046 1222.

Latest Tweets

The 130% super-deduction for equipment runs for one more year for companies that invest in new plant and machinery when the expenditure is incurred between 1 April 2021 and 31 March 2023.

Click the link to read more 👉 https://bit.ly/3lnq7B8

If you need help with submitting forms P11D and P11D(b) online, HMRC have a free webinar about how to send the forms using HMRC's PAYE online service.

Click the link to register and watch the recorded webinar 👉 https://bit.ly/3yH1fw4

Let’s Talk

Why not arrange a FREE consultation and find out what we can do for your business.