Parents will still be able to enjoy the benefits of childcare vouchers
Following the huge public support for the campaign to protect the benefits of childcare vouchers, the government has decided not to proceed with plans to phase out the tax exemption on childcare vouchers. Instead they have announced that they intend to retain the exemptions at a basic rate of tax.
What this would mean going forward:
- All those who are currently in receipt of childcare vouchers would remain unaffected
- All new entrants to the scheme after April 2011 – including higher rate tax payers - would be able to save tax on childcare vouchers at basic rate
We would like to thank our clients, their employees and carers for all the support they have given the campaign. We are delighted that working parents will still be able to benefit from this valuable assistance.
Our website will continue to be updated, giving you the latest information about the future of childcare vouchers and what this means to you.
Personnel Today
BBC
Times
Telegraph