Back dating Child Care Vouchers

jonny_decker

Hello,
I'm looking for advice on back dating CCV after having no luck searching the internet for the past 2 nights.
As the only employee and director of my limited company I have finally set up a child care voucher scheme and are now looking in to back dating vouchers only I'm unsure how this can work. I've read that some providers can backdate vouchers up to 6 months but can somebody explain how I would be able to use these?

ATM I'm a BR tax payer sacrificing the £243 limit p/m so how or where would I be able to use any backdated vouchers?

Any help welcome.

Thanks
JD

Finnglas

Hi JD

If you are running the scheme as a business expense then you can backdate your vouchers to the beginning of your company financial year, provide your child was born before that. You can then use those vouchers for future childcare.

I hope this helps but let me know if you need anything else

HTH

NYM

If you're operating a self-administered scheme, this link may be useful.

http://www.daccountant.co.uk/Childcare%20vouchers%20via%20your%20own%20limited%20company.pdf

jonny_decker

Hi,

Thanks for the feedback but I'm still unsure or maybe I'm over complicating the way backdated vouchers can be used.

I'll try to break this down.

As an employee I request my company to order my monthly voucher limit of £243 and use this as salary sacrifice.

As an employer I order the requested monthly voucher limit of £243 from the provider and distribute accordingly.

Now if me as an employee requests my company to pay the CCV provider for 6 months of back dated vouchers and me as the employee is already using the exempt amount then would this not mean that my company has no way of using the BD vouchers without going over the limit?

Or, because the CCV are backdated can I simply hand them all over to the nursery as a lump sum and not as salary sacrifice?

jonny_decker

Thanks blondbubbles. So my voucher provider has said my Ltd Co can order backdated vouchers for myself as an employee and that I should add these as an extra salary sacrifice amount. This would mean that if I decide to sacrifice double the monthly amount (£486) then I will only get a tax break on the exempt £243 which means there is no benefit to backdating vouchers?

Is this correct?