T2 General - Child benifits/taxfree credit

[Dilliwalah]

Dear All

Apologies if this is a repeat. Please remove and guide me to the right thread.

My LO was born in Feb this year. We are now looking for childcare for her. Can you someone please confirm if i get childcare tax free credit. If yes, will it impact my ILR application due next year?

Thanks for your support.

Regards

[CR001]

You cannot claim benefits if you do not hold ILR.

If you claim benefits while on Tier 2 or Tier 1 Ent (as your previous posts suggest you are switching), you will be in breach of your visa conditions and ILR will be refused.

[Dilliwalah]

Thanks for your response, is tax free child care counted as public fund? Also if i go for salary sacrifice will that impact as well?

[CR001]

Depends which free child care you are asking about (hours).

Salary sacrifice for what??

Does your spouse work?

[Dilliwalah]

Currently we are not eligible for free child care as LO is only 6 month old. My wife is self employed and will be starting work in september. We will be paying around £1200pm for childcare. I am on T2G and my is my dependent.

If i take tax free child care govt will pay £240 per month (20% of what i spend) max £2000 per year.

My question is will this be classed as benefits or public funds?

I currently dont claim £20 per week for child care as that is public fund. So i just want to be sure that it will not impact my ILR application in future. If it does i will not be claiming it.

CR001- Thanks for you help, I really appreciate it

[Dilliwalah]

Salary sacrifice for child care vouchers my employer provides.

[CR001]

Salary sacrifice for child care vouchers my employer provides.

This is NOT public funds

How many hours free child care are you talking about for £240 per month??

[Dilliwalah]

If i average for £5ph it will be 48hrs per month, as monthly full time rate are different to part time rates with child minders and nurseries.

There is no clear guidance on https://www.childcarechoices.gov.uk/ on what is public fund and what is not.

[CR001]

You don't qualify for 30 hours as neither you or your wife hold ILR.

You MIGHT qualify for 15 hours through the child care scheme salary sacrifice.

However if you click on the gov links within the link you have posted, it clearly states who is and who is NOT eligible, specifically the bit below as your visa will clearly state that you do not have recourse to public funds.

https://www.gov.uk/help-with-childcare- ... =microsite

Eligibility
You and your partner
You can usually get Tax-Free Childcare if you (and your partner, if you have one) are:

in work - or getting parental leave, sick leave or annual leave
each earning at least the National Minimum Wage or Living Wage for 16 hours a week - this is £125.28 if you’re 25 or over
This earnings limit does not apply if you’re self-employed and started your business less than 12 months ago.

You’re not eligible if:

your child does not usually live with you
the child is your foster child
either you or your partner has a taxable income over £100,000
you’re from outside the EEA and your UK residence card says you cannot access public funds

[Dilliwalah]

Thanks that is quite clear to me now. I think employer voucher are the only option as i wont be claiming anything from public funds. They will be salary sacrifice before tax.