Tax-Free Childcare and summer activities

Working parents may be interested to note that Tax-Free Childcare (TFC), the scheme the government phased in between 2017 and 2018, is not just for "traditional" childcare costs, such as regular hours after school during term time. It's also possible to use the scheme to pay for things such as accredited clubs or sports activities over the summer.

Generally, TFC is available for children aged up to 11 and takes the form of a top-up scheme - parents pay into an account and HMRC tops it up with an additional £2 for every £8 deposited, subject to a three-monthly cap of £500 for each child. You can get Tax-Free Childcare at the same time as 30 hours’ free childcare if you’re eligible for both.

If you are not yet registered for the scheme, the eligibility criteria and further details can be found here.

About the Author

Beverley Howells

Partner

Beverley is a partner with Torgersens, specialising in tax. Her role covers all aspects of taxation, from managing compliance to providing business advice. Her main areas of expertise are in business tax and corporation matters and in particular, acting for owner-managed businesses. Having joined the firm as a graduate trainee, Beverley qualified as a Chartered Accountant in 2000.   Outside of work, Beverley’s favourite place is the beach, enjoying a walk along our beautiful North East coastline. Ideally, she would be joined by a canine companion and has recently started a campaign for her own office dog! 

To get in touch please e-mail beverley.howells@torgersens.com.