wow some people are unbelievable

[LauraS]

It's important to remember that decisions made about the way benefits are administrated have to be done so pragmatically. It's makes no sense to wheel out a system of childcare vouchers instead of cash tax credits to combat fraud if the cost of administrating the system, along with the cost of the errors made by those administrating the system is more than the estimated amount of benefit lost to fraud. Benefit administration is pretty expensive!

There would also be an impact on uptake of such a scheme. As it stands, a childcare provider won't currently know (unless parent is spot checked) if a parent is claiming help with childcare. If vouchers were introduced it might stigmatise parents in the eyes of childcare providers and parents might be embarrassed to use them.

[LauraS]

Just as an aside, by the way, did you know that a family with two parents working full time with three children paying the max amount of childcare allowable under tax credit rules £300/week) would have to earn in excess of 65000 gross for help from tax credits to stop entirely.

[Simona]

Some very good points, I was at a toddler group the other month a cm was bragging about how her income was over £20,000 but had 'found' enough receipts to put down enough expenses so she didn't have to pay any tax, birthday and Christmas presents for her own children and presents when her kids went to parties were put down as resources, making up additional journeys for the mileage, adding in extra food items etc she was freely giving out advice on how to avoid tax - I was shocked she was so open in a public place.
I think people look at people doing cash in hand or putting through extra expenses and people making fraudulent tax credit claims differently for the reason that when you take cash in hand or make up expenses you are not giving to the state what you should but you did earn that money however when someone makes up tax credit claims the state is giving you money, but you did not earn that money. However both are fraudulent claims.

I would have quietly said to this cm that what she was saying could actually land her in trouble as people can be reported to HMRC as we can be reported to Ofsted...her behaviour would be classified as unprofessional in my view.
Very sad to hear that some cms can behave like this especially in a group open to the public ....appalling in fact..

[dawn100]

I would have quietly said to this cm that what she was saying could actually land her in trouble as people can be reported to HMRC as we can be reported to Ofsted...her behaviour would be classified as unprofessional in my view.
Very sad to hear that some cms can behave like this especially in a group open to the public ....appalling in fact..

I think my face said a lot, I just walked away as some parents also joined in about how their partners were self employed and how they fiddled the books. It's not a cm that I know, i don't even know her first name, otherwise I would of said something, I just wanted to distance myself from the conversation.

[Simona]

I think my face said a lot, I just walked away as some parents also joined in about how their partners were self employed and how they fiddled the books. It's not a cm that I know, i don't even know her first name, otherwise I would of said something, I just wanted to distance myself from the conversation.

A few years ago I was asked to do 3 extra hrs of work...I invoiced the parent and he/she came back putting the cash on the table saying: 'there you are ..you can do what you like with this'
I replied that I had no intention of putting my career at risk for £15 and the cash would be declared as is the rest of my income!! having said that his/her partner was a top guy in HMRC...deary me!