Parents using Tax-Free Childcare pay nursery bills from an online account that the government tops up by £2 for every £8 paid in. A nursery signs up for a provider account to receive them.
"For every £8 you pay into the account, the government will top it up by £2", up to £2,000 a year for each child, or £4,000 for a disabled child. Parents can pay only providers that are signed up.
HMRC's guidance says approved or registered childcare providers can sign up for a childcare provider account, set up their bank details and receive payments from parents. The main contact for the business signs up and can set up a delegate to manage the account.
Providers can still accept childcare vouchers, but parents cannot use both childcare vouchers and Tax-Free Childcare to pay for childcare.
We match Tax-Free Childcare receipts to the parent invoices they pay each month, alongside funding payments from the council.
We keep the sales ledger for day nurseries by parent and by funding source, and chase what is overdue.
£2 for every £8 a parent pays in, up to £2,000 a year per child, or £4,000 for a disabled child.
No. HMRC says parents cannot use both to pay for childcare.
National averages, the 97% pass-through and the supplements.
Free funded hours, voluntary extras and an itemised invoice.
The welfare exemption, agency staff, registration and partial exemption.
We look at your last accounts, your payroll hours and your fee rates, and tell you what we would change.