tax credits (childcare element)

iammumtoone

I am trying to work out how much I am entitled to towards my childcare expensives.

I don't understand the guidance table

http://www.hmrc.gov.uk/taxcredits/people-advise-others/entitlement-tables/work-and-child/work-pay-childcare.htm

I know the maximum amount you can claim is 70% of costs, I don't think I will qualify for maximum so want to work out what percentage I will get. The above table seems to imply you get more than your actual costs, they use an example of childcare costs of £90 per week (ie £4680 per year) but show that if you earn £5,100 you can claim £10,440. I am obviously reading the table wrong but cant see how

I have tried putting my figures into the turn to us calculator but that doesn't help as it gives total amount of tax credits due and doesn't separate the childcare element.

Any help on how to read table would be useful

thanks

Caz3121

what you are seeing in the table is the total of child tax credits + working tax credits + childcare contribution
If you look at the guidance table for the same income but no childcare and deduct one from the other you will see what the contribution would be

iammumtoone

Caz3121 wrote: »

what you are seeing in the table is the total of child tax credits + working tax credits + childcare contribution
If you look at the guidance table for the same income but no childcare and deduct one from the other you will see what the contribution would be

thank you

zagfles

Everyone eligible gets the maximum (ie 70% capped at £175pw for 1 child/£300 for 2+) added to the elements in their award, but then the total award is subject to the income taper.

iammumtoone

zagfles wrote: »

Everyone eligible gets the maximum (ie 70% capped at £175pw for 1 child/£300 for 2+) added to the elements in their award, but then the total award is subject to the income taper.

Thank you. Glad I asked on here now, so much helpful advise available.