Part 4U.K.Employment income: exemptions

Chapter 11U.K.Miscellaneous exemptions

ChildcareU.K.

[F1318CChildcare: meaning of “qualifying child care”U.K.

(1)For the purposes of section 318A “qualifying child care” means registered or approved care within any of subsections (2) to (6) below that is not excluded by subsection (7) below.

(2)Care provided for a child in England is registered or approved care if it is provided—

(a)by a person registered under Part 10A of the Children Act 1989,

(b)by a school or establishment that does not need to be registered under that Part to provide the care because of an exemption under paragraph 1 or 2 of Schedule 9A to that Act,

(c)in the case of care provided for a child out of school hours between the child’s 8th birthday and the last day on which he is treated as being a child, by a school on school premises or by a local authority, or

(d)by a child care provider approved by an organisation accredited under the Tax Credit (New Category of Child Care Provider) Regulations 1999,

F2(e). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

[F3(ea)by a child care provider approved in accordance with the Tax Credits (Approval of Child Care Providers) Scheme 2005, or]

(f)by a domiciliary care worker under the Domiciliary Care Agencies Regulations 2002.

(3)Care provided for a child in Wales is registered or approved care if it is provided—

(a)by a person registered under Part 10A of the Children Act 1989,

(b)by a school or establishment that does not need to be registered under that Part to provide the care because of an exemption under paragraph 1 or 2 of Schedule 9A to that Act,

(c)in the case of care provided for a child out of school hours between the child’s 8th birthday and the last day on which he is treated as being a child, by a school on school premises or by a local authority, or

(d)by a child care provider approved by an organisation accredited under the Tax Credit (New Category of Child Care Provider) Regulations 1999 [F4 or

(e)by a domiciliary care worker under the Domiciliary Care Agencies (Wales) Regulations 2004,]

(4)Care provided for a child in Scotland is registered or approved care if it is provided—

(a)by a person in circumstances where the care service provided by him—

(i)consists of child minding or of day care of children within the meaning of section 2 of the Regulation of Care (Scotland) Act 2001, and

(ii)is registered under Part 1 of that Act, or

(b)by a local authority in circumstances where the care service provided by the local authority—

(i)consists of child minding or of day care of children within the meaning of section 2 of the Regulation of Care (Scotland) Act 2001, and

(ii)is registered under Part 2 of that Act.

(5)Care provided for a child in Northern Ireland is registered or approved care if it is provided—

(a)by a person registered under Part XI of the Children (Northern Ireland) Order 1995, or

(b)by an institution or establishment that does not need to be registered under that Part to provide the care because of an exemption under Article 121 of that Order, or

(c)in the case of care provided for a child out of school hours between the child’s 12th birthday and the last day on which he is treated as being a child, by a school on school premises or by an education and library board or an HSS trust.

(6)Care provided for a child outside the United Kingdom is registered or approved child care if it is provided by a child care provider approved by an organisation accredited under the Tax Credit (New Category of Child Care Provider) Regulations 2002.

(7)Child care is excluded from section 318A—

(a)if it is provided by the partner of the employee in question, or

(b)if it is provided by a relative of the child wholly or mainly in the child’s home or (if different) the home of a person having parental responsibility for the child[F5, or

(c)in the case of care falling within subsection (2)(ea), if—

(i)it is provided wholly or mainly in the home of a relative of the child, and

(ii)the provider usually provides care there solely in respect of one or more children to whom the provider is a relative.]

(8)In subsection (7)—

  • “partner” means one of a [F6couple (within the meaning given by section 137(1) of SSCBA 1992 or section 133(1) of SSCB(NI)A 1992)] ; and

  • “relative” means parent, grandparent, aunt, uncle, brother or sister, whether by blood, half blood or marriage [F7or civil partnership]

[F8(9)In subsection (7)(c), “relative in relation to a child, also includes—

(a)a local authority foster parent in relation to the child,

(b)a foster parent with whom the child has been placed by a voluntary organisation,

(c)a person who fosters the child privately (within the meaning of section 66 of the Children Act 1989, or

(d)a step-parent of the child.].]

Textual Amendments

F1Ss. 318-318D substituted for s. 318 (with effect in accordance with s. 78(2) of the amending Act) by Finance Act 2004 (c. 12), Sch. 13 para. 1

F2S. 318C(2)(e) omitted (with effect in accordance with reg. 1(2) of the amending S.I.) by virtue of The Section 318C Income Tax (Earnings and Pensions) Act 2003 (Amendment) Regulations 2005 (S.I. 2005/770), regs. 1(1), 3(a)