HMRC to compensate over childcare website failure

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HMRC will compensate parents who have faced technical issues when trying to apply for government-funded childcare schemes online.

Since its launch in April 2017 users have reported a number of IT glitches when trying to access their online accounts.

One of the childcare schemes available is Tax-Free Childcare where a parent can get up to £500 every three months per child (£2,000 a year), to help with the costs of childcare.

If you get Tax-Free Childcare, the government will pay £2 for every £8 you pay your childcare provider via an online account.

HMRC is offering compensation for those who have experienced the following issues:

  • Been unable to complete an application for Tax-Free Childcare
  • Been unable to access a childcare account
  • Not received a decision about if you’re eligible, without explanation, for more than 20 days

“If you’ve been affected by technical issues, you may be able to get the government top-up as a one-off payment for Tax-Free Childcare,” said HMRC. 

“We’ll also consider refunding any reasonable costs directly caused by the service not working as it should, mistakes or unreasonable delays.”

To make a claim parents will need to fill in this form online; you will need the following details:

  • Your full name
  • Your home address
  • National Insurance number
  • A brief description of the issues you’ve had
  • Bank name, account number and sort code
  • Copies of receipts for payments to your childcare provider

If you are eligible for compensation HMRC will inform you by letter and then make a payment directly into your bank account.

For further information about Tax-Free Childcare or any other tax issue contact Peter Way-rider, tax manager at Ellis & Co on 01244 343504.