|
|
<p>EU legislation does not allow the UK to extend the scope of our existing zero rate reliefs or otherwise waive the payment of VAT. Assigning child care businesses as zero-rated for VAT would amount to an extension of the scope of our existing zero rate reliefs, and is therefore not possible.</p><p>At Budget 2013, the Chancellor of the Exchequer announced the Government would support working families through the creation of a new tax-free child care scheme. The new scheme will be phased in from autumn 2015, supporting working families with 20% of their child care costs, up to £1,200 a year for each child.</p> |