Slightly Complicated Tax Credit Query

milliebear00001

Hi there

I work full-time and my OH is at home with our children, the youngest of whom is just three. We qualified for my youngest's private nursery fees (two half days every week) to be paid via Tax Credits, on account of my OH qualifying for DLA (we also get extra Tax Credits because of this). Now my son is three, he will qualify for a free nursery place (5 mornings a week) and we intend to keep him at the private nursery he already attends. My question is, do we still qualify for his fees to be paid in school holiday time (which the free scheme will not pay for)? If we are entitled to continue our claim for nursery fees, how would we manage the fact that sometimes CT would be liable for the bill (in school holiday times) and sometimes the fees would be met via the free-place scheme (in term-time)!?

Sorry if this doesn't make sense - thanks!

karenx

when my son was in private nursery this happened. I had 2 choices, add up the years fees that you physically have to pay and divide by 52 and give that figure to tax credits or call up and change figures as and when it happens

milliebear00001

karenx wrote: »

when my son was in private nursery this happened. I had 2 choices, add up the years fees that you physically have to pay and divide by 52 and give that figure to tax credits or call up and change figures as and when it happens

Thanks so much - that's really helpful.

[Deleted User]

Add up all of the additional costs and divide by 52. If your short term childcare lasts for less than 4 weeks you cant claim for it. But you are allowed to average it over the full year.

milliebear00001

OK, looks like we'll need to claim just under £13 a week if I divide it over the 52 weeks. Will they be OK with such a small amount!? It's because he'll only be going for three days to start with.

karenx

Remember its only 80% you get

milliebear00001

karenx wrote: »

Remember its only 80% you get

Why only 80%? At the moment his nursery fees are paid in full?

karenx

You wont be getting the full amount, they pay up to 80% off them depending on the amount the rest will probably be your working tax credits and child tax credits


How much can you get?

You can get help with up to 80 per cent of your childcare costs - subject to a maximum limit in the amount of childcare costs you can claim each week

Taken from here-

http://www.direct.gov.uk/en/MoneyTaxAndBenefits/TaxCreditsandChildBenefit/TaxCredits/Gettingstarted/whoqualifies/Childrenandtaxcredits/DG_073803

milliebear00001

How weird! Guess that shows I need to read my notifications more carefully! Thanks again.