Hi, can someone out me out on here. Both myself and partner were connected persons foster careers which ended on the 1st April this year, when we decided to go down the SGO route, Do we both have to complete separate tax returns for the fostering money we received in 2018-2019 tax year, and split the income received and qualifying care relief. I have read that we need to form a partnership when completing the tax return, but just want to get this done as quickly and easier as possible and get it out of the way. Thanks
Generally foster carers would not require to form a partnership. Where both of you were actually acting as the foster carers then yes you would need to split the income and the relief. If only one of you actually acted as the main carer, then that person would declare the full income and claim the full relief.
Hi I want to ask I work for a local authority and get 2 payments from them one is the fee element and one is fostering allowance for the child.Can someone tell me when working out the tax do I have to declare both income elements received from the fostering service?or do I just declare my fee?
Then I understand I get the 10000 exemption and my personal allowance and the qualifying money sum of 200 or 250 for each child.Can someone please make this clear for me.Thanks
When working out your income from fostering you include all monies received from the local authority. You then work out your qualifying care relief of the standard £10000 per annum plus either £200 or £250 per child per week. I am not sure if you have already had a look at our Qualifying Care Relief help sheet - if not you can find it here