View Full Version : Grandparent and working tax credit


Camrat78
02-08-2007, 07:58
I've heard people talking about this, but was wondering if it is right. Here goes......

If my mother in law was to register has a child minder, could she look after babycamrat as a full time occupation and would we be able to claim back some of the money under the working tax credit rules?

i know the amounts you can claim back are dependant on the amount you earn, I'm just wondering if in principal this is something that we can do???

rachelg
02-08-2007, 08:55
Not sure about the working tax credit stuff - but I do know that if she was going to register with the intention of looking after her grandchild - she would have to at least be willing to look after other kids too. I don't think you can use this route JUST to look after a member of the family. Check with Childrens Info Service - they'll probably know the ins and outs!

babychickens
02-08-2007, 09:23
no, you couldn't claim tax credits back for that. the rules are very specific regarding family members caring for a child. might be worth ringing to check whether you could get the tax credits if she took in other kids too, but i sincerely doubt it would work like that.

hennypenny
02-08-2007, 09:44
I am a bit out of date now, as I stopped childminding a couple of years ago, but when I was on the introductory course there were quite a few grandparents doing the course to register, with the intention of looking after their grandchildren. At that time it was completely acceptable.

If you are on working tax credit and child tax credit you are entitled to reclaim up to 70% of your childcare costs, so long as your child is in the care of a registered childminder. It doesn't matter if the registered childminder is a relative, so long as it isn't a parent of the child. As far as I know!

I have just found this link, but again it is from 2005, so I don't know if it is up to date

http://209.85.135.104/search?q=cache:KXqR7Hy0SPQJ:www.litrg.org.uk/news/latest.cfm%3Fid%3D235+grandparent+registered+child minder&hl=en&ct=clnk&cd=1&gl=uk

ashlee
02-08-2007, 09:52
my grandparents found a lot of useful information from the grandparents Federation. The email address is; info@grandparents-federation.org.uk.

I can't put the website address on because I've not had five posts, but PM me if you need it.

Ashlee

baileys_mum
02-08-2007, 10:02
I was under the impression you had to employ a qualified child minder to be able to claim money from tax credits?

Camrat78
02-08-2007, 10:39
I'm going to make an appointment at the CAB to go over what we can claim etc so I'll mention it then and report back as to the law at the moment.

baileys_mum
02-08-2007, 12:27
Thanks for that Camrat :)

rachelg
02-08-2007, 13:03
I was under the impression you had to employ a qualified child minder to be able to claim money from tax credits?

They have to be Registered (with OFSTED) - so can't claim them if using a nanny (as they don't have to be registered).

Wayneos
04-08-2007, 14:29
From what I remember from my time at the jobcentreplus, I know this is an inland revenue issue but you wouldn't believe the amount of people that don't know that...anyway, I remember this being a sticky issue and I can't fully remember the rules around it but I believe that any family member be it father, mother, uncle, grandad, sister etc (You get my point....) cannot look after the child and you claim child care costs, however if they are registered childminders and also care for other children as mentioned above (If they just care for your child then that is also a no-no, and they will check) but yeah, if they care for other children also then I don't believe that is an issue.

Might be worth looking at (http://www.hmrc.gov.uk/leaflets/wtc5.pdf)

maidofhonour
05-08-2007, 08:03
I was talking to someone only yesterday about this at a book fayre I was at and she was a grandparent who used to be a registered childminder. Her daughter now has children and she was going to re register so that she could look after them but she was told that she cant. I asked even if its a different surname and she still said no as you have to declare any connection between the childminder and the person wanting their children looked after.

hennypenny
05-08-2007, 13:16
It has all completely changed in the last few years then! When I was doing my childminding training they were deliberately marketing it to grandparents and saying how wonderful it was that they had this opportunity to care for their grandchildren, and that their children could claim working family tax credits and pay them!

Camrat78
09-08-2007, 05:41
Thats the sort of thing that I had heard hennypenny. Would be a really good idea, my mother in law would be willing to quit work to do this, we would pay her the going rate, the government would pay us what it was going to anyway, and babycamrat would be looked after by his loving grandmother. Surely everyone wins.