28 October 2021

Tax credits and tax-free childcare - Claiming childcare support and online tuition

During the coronavirus pandemic, some tuition providers moved their classes from face to face to online due to various restrictions. Other providers have been offering online tuition as a separate option for some time.

HMRC have confirmed to us that childcare that is tuition and provided wholly online is not qualifying childcare for tax credits. This means that the costs cannot be covered by the working tax credit childcare element even if the provider is registered.

Anyone currently claiming help from tax credits to pay for online childcare/tuition costs, or who has done in the past, should check the position carefully. If the tuition was delivered online due to the coronavirus pandemic, those costs may still be covered under various temporary COVID-concessions introduced to help claimants.

HMRC have confirmed that tax-free childcare may be used to cover online tuition costs in certain circumstances.