HMRC urges working families not to miss out on £500 tax-free boost every three months

dailyrecord.co.uk:

HM Revenue and Customs (HMRC) has confirmed that more than 24,900 families in Scotland benefited from UK Government funding towards childcare costs in September 2022.

Overall, HMRC paid out £44.4 million in Tax-Free Childcare top-up payments to more than 401,300 families across the UK in September.By comparison, the latest statistics show the number of families in Scotland who are using Tax-Free Childcare has increased by 6,415 since September 2021.

However, HMRC warns that thousands of families are still missing out on the top-up which could save them up to £2,000 each year per child towards the cost of their childcare.Tax-Free Childcare provides working families, earning up to £100,000 a year, with financial help towards childcare.

For every £8 paid into a Tax-Free Childcare online account, families will automatically receive an additional £2 from the UK Government - this means they can receive up to £500 every three months (£2,000 a year), or £1,000 (£4,000 a year) if their child is disabled.The top up payments can be used to pay for any approved childcare for children aged 11 or under - or up to 17 if the child has a disability - whether your child goes to nursery, a child minder, has term-time wraparound care or goes to a holiday club.