Childcare rebate

[brisbanegirl]

I noticed an interesting article in yesterday's (31 August) Australian newspaper. Thought some people might be interested in claiming money back from the government if they haven't already done so.

Basically it's a rebate for out-of-pocket expenses incurred by parents between 1 July 2004 and 30 June 2005 for children under 6 and who have children in long daycare, family daycare, home care, outside school hours care, holiday care, occasional care, and registered care that is provided for them by grandparents or other family members.

The gyst of the article was that only 13% of families have filled in a claim for it. So basically of the $250 million budgeted for it, the government has only had $65 million of claims. You do need to have receipts or records of the costs. Also, there are only 2 more months that you can claim it.

The article was on page 5 of Thursday 31 August The Australian newspaper if you want to follow it up further.

Thought some people may not be aware of this tax rebate - worth up to $4000 a child!

[the_queen]

Yup, it's outlined in e-tax, and I'd assume it would be mentioned in the taxpack.

Well worth it too, our total child care costs for that period were over $8600 :eek: (that's before the 55% CCB we were entitled to). We received over $1300 back.

[jkate]

oh yes I know about this!! I had to put in an appeal with the FAO because they did not fix a mistake they had made earlier in the year. To cliam for Child Care Tax Rebate, you or your partner must have met the work/training/study requirements. Now we were both working full time, but the FAO said we didnt even though I rang and ask them to fix it, I was told it was and it will be find for me to claim on my tax. Well I did my tax and got it back with out the CCTR because the FAO still hadnt fixed it. Anyway long story short I now have to go back and make an amendment on my tax :banghead: :banghead: Fingers cross I will eventully get it :eek:

[the_queen]

oh my gosh karen, could tax GET any more complicated!!??? I swear that it's like Centrelink - they make it so difficult to understand in the hope that you'll just say "bugger it" and they won't have to pay you. Glad it's all sorted for you now.

[jkate]

oh my gosh karen, could tax GET any more complicated!!??? I swear that it's like Centrelink - they make it so difficult to understand in the hope that you'll just say "bugger it" and they won't have to pay you. Glad it's all sorted for you now.

Sooooooooo true, but we need the money, so there is no way I am saying bugger it :D . I have so many problems with them this year, thy even gave me somone elses money!!!!!

Oh and I just thought I would let everyone know its for approval care only. More detials are here (http://www.familyassist.gov.au/Internet/FAO/fao1.nsf/content/faq-child_care_rebate.htm)

[FourAngelKisses]

What is the childcare rebate?? Is that on top of the lower price you pay for fees depending on your income?? I had 2 kids in care for 5yrs and I've never heard of it. Full fees were $43 a day but I was only paying $13 each because of DH's income.

I don't have receipts, but I'm curious for when Matthew starts daycare.

[jkate]

What is the childcare rebate?? Is that on top of the lower price you pay for fees depending on your income?? I had 2 kids in care for 5yrs and I've never heard of it. Full fees were $43 a day but I was only paying $13 each because of DH's income.

I don't have receipts, but I'm curious for when Matthew starts daycare.

I think its only started this year, its a tax benenfit you would get from what you paid out!! It is very confusing, have a look at the link in my previous post, hopefully it can answer some of you questions. Has the_Queen said you claim for it in your tax.

HTH

[Illusional]

It did start this year... but the rebate is for the 04-05 childcare costs.. Just to make things more confusing.
You will be rebated 30% of your actual out of pocket expenses.. not for whatever the fees were meant to be. (ie: the amount after CCB has been taken out)

Heres the link to all the questions and answers from the ATO Child Care Rebate (http://www.ato.gov.au/individuals/content.asp?doc=/content/52998.htm)

[cupcakemafia]

Just remember that it is a TAX REBATE, not a cash in hand amount.
Don't get all excited because you think you are going to get extra money in your account - its used to reduce the tax you've paid.

[Bubble*Crazy]

Well, this stuff always confuses me, but I don't mind as due to the amount of CC we paid for that period, I'm getting around $2200 ... yes, we paid over $10000 for DD's CC, so I'm waiting for mine to come back. The accountant has completed our returns, so just waiting for my big fat chq!!!

[sam's mum]

actually its because its a rebate that you may get cash in the hand.

If you have to pay $200 in tax, and you have already paid $210 you get a $10 refund. If you had a child care rebate amount of $150, you will get a $160 refund.

So if you had to pay $200, and you had only paid $120 and you were entitled to a $150 child care rebate, instead of a bill for $80 (200 - 120), you would get a refund of $70 (150 rebate - 80 bill).

If your income is low enough that you don't have to pay any tax, you still get the rebate.

If it was a deduction and you didn't have any tax to pay, you would get nothing.

[Illusional]

Anyone who received a Centrelink benefit for the whole financial year or paid tax less than or equal to their tax free threshold will get the full 30% as a cash payment.
(ie: if you didnt work at all and were on a benefit - you will get the full amount)

And like Jane said - if the 30% rebate is more than your 'payable' tax amount - you will receive the difference.
If its less than your 'payable' tax amount - it will be taken off your tax amount as a reduction.

(Edit: I'm unsure of how your partners income affects it, if at all, so don't quote me on that if your partner works)

[jessgray]

ds started CC in feb this yr can i claim for part of the last finicial yr? he was going 2 days a week from feb-end of finicial yr
or should i just claim that part when i claim this finicial yr's next yr when i am working? :confused:
i get JET childcare funding too does that make a difference to me claiming it?

[the_queen]

As previously stated, and as written in the 2005-2006 tax information, the rebate is for 2004-2005 financial year. So if you had a child in approved care between 1 July 2004 and 30 June 2005, then you will receive 30% of your out-of-pocket expenses back.

[jessgray]

i had a look on the ATO site and it says i need to fill in a transfer form for it to go to DP because i didnt need to lodge a tax return, DP has already done his tax return :confused: so does that mean we cant claim it? so confused. lol

[Amanda06]

I am in the same boat as you jessgray, I didn't lodge a tax return either and I rang the FAO and they said to just put it onto Hubbys tax return. I said to her but it is all in my name, so how does that work. She said it won't be a problem they will accept it. But of course they didn't and now I am not sure what to do about it. Where do you get transfer forms from?

[jessgray]

the site said you can download them or ring and get one :confused:

[Illusional]

ds started CC in feb this yr can i claim for part of the last finicial yr? he was going 2 days a week from feb-end of finicial yr
or should i just claim that part when i claim this finicial yr's next yr when i am working? :confused:
i get JET childcare funding too does that make a difference to me claiming it?

Jess.. the 30% child care rebate does not apply to childcare paid for after June 30 last year. It applies for the period from July 1st 2004 - June 30th 2005. So no you arent eligible to claim it this year.
You will claim you costs from July 1st 2005 to June 30th 2006 on your next years tax return. (if you have to lodge one - or it will be paid to you accordingly)

It doesnt matter if you are claiming Child Care Rebate or JET assistance.. it goes by what you ACTUALY paid - not what they covered. So whatever you pay to the centre each week is what it is based on. after CCB and JET.

[jessgray]

:thumbsup: thanks that makes sense :)