# Childcare Payments Act 2014

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U.K.

# Childcare Payments Act 2014

# 2014 CHAPTER 28

An Act to make provision for and in connection with the making of payments to persons towards the costs of childcare; and                        to restrict the availability of an exemption from income tax in respect of the provision for an employee of childcare, or                        vouchers for obtaining childcare, under a scheme operated by or on behalf of the employer.                     

[17th December 2014]

Be it enacted by the Queen's most Excellent Majesty, by and with the advice and consent of the Lords Spiritual and Temporal, and Commons,                           in this present Parliament assembled, and by the authority of the same, as follows:—                        

## IntroductoryU.K.

### 1Entitlement to receive money towards costs of childcareU.K.

(1)This Act contains provision for HMRC to make payments (“top-up payments”) to be used towards the costs of qualifying childcare.                  

For the meaning of “qualifying childcare”, see section 2.

(2)A person is entitled to receive a top-up payment for an entitlement period in respect of a child if—                  

(a)the person is an eligible person for the entitlement period (see section 3),                  

(b)the person has made a valid declaration of eligibility for the entitlement period (see section 4),                  

(c)the child is a qualifying child (see section 14),                  

(d)the person holds a childcare account in respect of the child (see section 15), and                  

(e)a qualifying payment is made into the childcare account during the entitlement period (see section 19).                  

(3)HMRC must pay the top-up payment into the childcare account.                  

(4)The amount of the top-up payment is 25% of the amount of the qualifying payment.                  

(For provision limiting the amount of qualifying payments that may be made into a childcare account in an entitlement period,                     see section 19(4).)                  

(5)Regulations may amend subsection (4) so as to substitute a different percentage for the percentage for the time being specified                        there.                  

(6)Sections 17 to 25 contain provision about childcare accounts, including restrictions on the kinds of payments that may be                        made from childcare accounts.                  

(7)Sections 26 to 29 contain provision about obtaining and sharing information.                  

(8)Sections 30 to 34 contain special rules about persons who are claiming tax credits or universal credit.                  

(9)Sections 35 to 55 contain provision about penalties and other enforcement powers, including powers to recover top-up payments                        in certain circumstances.                  

(10)Sections 56 to 61 contain provision about reviews and appeals.                  

(11)Section 62 contains provision enabling HMRC in certain circumstances to compensate persons who have been deprived of the opportunity                        to receive top-up payments.                  

(12)Sections 63 and 64 contain provision for the withdrawal of tax exemptions in respect of certain kinds of employer-provided                        childcare schemes.                  

Commencement Information

I1S. 1 partly in force at Royal Assent; s. 1 in force for specified purposes at Royal Assent, see s. 75(1)(c)

### 2Qualifying childcareU.K.

(1)In this Act “childcare” means any form of care or supervised activity for a child that is not provided in the course of the child's compulsory education.                  

(2)Childcare that is provided for a person is “qualifying childcare” for the purposes of this Act if—                  

(a)it is registered or approved childcare, and                  

(b)the main reason, or one of the main reasons, for incurring the costs of the childcare is—                  

(i)to enable the person to work, or                  

(ii)where the person has a partner, to enable both the person and the person's partner to work.                  

(3)Regulations may—                  

(a)make provision about what is, or is not, to be regarded as registered or approved childcare for the purposes of this section;                  

(b)define what is meant by “work” for the purposes of this section;                  

(c)specify cases where the condition in subsection (2)(b) is to be treated as met;                  

(d)specify cases where that condition does not need to be met.                  

(4)Regulations made under subsection (3)(a) may, in particular, provide that childcare provided outside the United Kingdom is                        registered or approved childcare if it is provided by a person approved by an organisation that is accredited by a person                        or body under an enactment.                  

(5)Subsection (2) is subject to any direction made under section 50 (which enables HMRC in certain circumstances to direct that                        childcare provided by a person is not qualifying childcare).                  

Commencement Information

I2S. 2 partly in force at Royal Assent; s. 2 in force for specified purposes at Royal Assent, see s. 75(1)(c)

## EligibilityU.K.

### 3Eligible personsU.K.

(1)A person is an eligible person for an entitlement period if—                  

(a)the person meets the conditions of eligibility in sections 6 to 13, and                  

(b)in a case where the person has a partner, the person's partner meets the conditions of eligibility in sections 9 to 13.                  

(2)In sections 6 to 13 “the date of the declaration” means the day on which the person makes a declaration of eligibility for the entitlement period (see section 4).                  

(3)Sections 6 to 13 need to be read with—                  

(a)regulations made under them, and                  

(b)regulations made under subsection (4).                  

(4)Regulations may provide for exceptions to the requirement for any of the conditions of eligibility in sections 6 to 13 to                        be met by a person.                  

(5)Regulations may make provision about when a person is, or is not, to be regarded as another person's partner for the purposes                        of this Act.                  

Commencement Information

I3S. 3 partly in force at Royal Assent; s. 3 in force for specified purposes at Royal Assent, see s. 75(1)(c)

### 4Declarations of eligibilityU.K.

(1)For the purposes of this Act a “declaration of eligibility” is a statement made by a person for an entitlement period which                        states that the person is an eligible person for the entitlement period.                  

(2)A declaration of eligibility made by a person for an entitlement period is “valid” for the purposes of this Act if—                  

(a)HMRC are satisfied that the person is an eligible person for the entitlement period,                  

(b)on the day on which the declaration is made, there is no other person who—                  

(i)holds an active childcare account in respect of the relevant child (see subsection (4)), or                  

(ii)is seeking to hold an active childcare account in respect of that child (see subsection (5)), and                  

(c)the declaration is made in accordance with regulations under this section.                  

(3)But subsection (2)(b) does not apply for the purpose of determining whether a declaration of eligibility made for the purposes                        of opening a childcare account is valid (see instead section 17(2)(c)).                  

(4)In subsection (2)(b) “the relevant child” means the child in respect of whom the person making the declaration holds a childcare account.                  

For what is meant by an “active” childcare account, see section 17(3).

(5)For the purposes of this section a person is “seeking to hold an active childcare account” if—                  

(a)the person has applied to open a childcare account and the application has not yet been determined,                  

(b)the person has made a valid declaration of eligibility for an entitlement period which has not yet begun, or                  

(c)the person has made a declaration of eligibility for an entitlement period which, if valid, would result in the person holding                        an active childcare account for that period.                  

(6)Regulations may make further provision about declarations of eligibility, including, in particular—                  

(a)provision specifying, or enabling HMRC to specify, information which a person making a declaration of eligibility is required                        to provide to HMRC;                  

(b)provision specifying, or enabling HMRC to specify, the form and manner in which declarations of eligibility may be made;                  

(c)provision specifying the times when declarations of eligibility may be made;                  

(d)provision about the consequences of making a declaration of eligibility—                  

(i)after the beginning of the entitlement period for which it is made, or                  

(ii)at such other time as may be specified;                  

(e)provision for any consequences specified by virtue of paragraph (d) not to apply in specified circumstances or if specified                        conditions are met;                  

(f)provision specifying circumstances in which a person, or a person of a specified description, may make a declaration of eligibility                        on another person's behalf, including provision enabling HMRC to appoint a person for that purpose;                  

(g)provision treating things done, or omitted to be done, by a person who makes a declaration of eligibility on another person's                        behalf as having been done, or omitted, by that other person.                  

(7)In subsection (6) “specified” means specified in the regulations.                  

Commencement Information

I4S. 4 partly in force at Royal Assent; s. 4 in force for specified purposes at Royal Assent, see s. 75(1)(c)

### 5Entitlement periodsU.K.

(1)The length of an entitlement period is 3 months.                  

This is subject to the following provision.

(2)Regulations may—                  

(a)amend subsection (1) so as to alter the length of an entitlement period, and                  

(b)in consequence of any provision made under paragraph (a), amend any reference in this Act to a period which begins on the                        day on which a declaration of eligibility is made and is the same length as an entitlement period.                  

(3)Regulations may make further provision about entitlement periods, including, in particular—                  

(a)provision for determining when entitlement periods are to begin or end, and                  

(b)provision enabling HMRC, in circumstances specified in the regulations, to vary the length of an entitlement period in particular                        cases.                  

(4)Provision made by virtue of subsection (3)(b) may not enable HMRC to vary the length of an entitlement period by more than                        a month.                  

Commencement Information

I5S. 5 partly in force at Royal Assent; s. 5 in force for specified purposes at Royal Assent, see s. 75(1)(c)

## Conditions of eligibilityU.K.

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### 7The person must be responsible for the childU.K.

(1)A person meets the condition of eligibility in this section if, at the date of the declaration, the person is responsible                        for the relevant child.                  

(2)In subsection (1) “the relevant child” means the child in respect of whom the person holds, or wishes to open, a childcare account.                  

(3)Regulations may make provision as to the circumstances in which a person is, or is not, to be regarded as responsible for                        a child for the purposes of this Act.                  

Commencement Information

I6S. 7 partly in force at Royal Assent; s. 7 in force for specified purposes at Royal Assent, see s. 75(1)(c)

### 8The person must be in the UKU.K.

(1)A person meets the condition of eligibility in this section if the person is in the United Kingdom on the date of the declaration.                  

(2)Regulations may—                  

(a)specify circumstances in which a person is to be treated as being, or not being, in the United Kingdom;                  

(b)specify circumstances in which temporary absence from the United Kingdom is disregarded;                  

(c)modify the application of this Act in relation to persons of a specified description who are treated as being in the United                        Kingdom for the purposes of this Act.                  

(3)In subsection (2) “specified” means specified in the regulations.                  

Commencement Information

I7S. 8 partly in force at Royal Assent; s. 8 in force for specified purposes at Royal Assent, see s. 75(1)(c)

### 9The person and his or her partner must be in qualifying paid workU.K.

(1)A person meets the condition of eligibility in this section if the person is in qualifying paid work on the date of the declaration.                  

(2)Regulations may—                  

(a)make provision as to what is, or is not, qualifying paid work, and                  

(b)specify circumstances in which a person is, or is not, to be regarded as in such work.                  

(3)Regulations under subsection (2) may, in particular—                  

(a)make provision for calculating a person's expected income from any work for a period specified in the regulations,                  

(b)provide that a person is in qualifying paid work only if the person's expected income from the work for the period, taken                        together with the person's expected income from any other work for the period, is greater than or equal to an amount specified                        in, or determined in accordance with, the regulations, and                  

(c)specify cases in which the condition mentioned in paragraph (b) does not need to be met.                  

Commencement Information

I8S. 9 partly in force at Royal Assent; s. 9 in force for specified purposes at Royal Assent, see s. 75(1)(c)

### 10The income of the person and his or her partner must not exceed limitU.K.

(1)A person meets the condition of eligibility in this section if, at the date of the declaration, the person's expected income                        for the relevant tax year is not greater than an amount specified in, or determined in accordance with, regulations for the                        purposes of this section.                  

(2)Regulations may make provision for calculating a person's expected income for a tax year.                  

(3)Regulations may provide that a person is treated as meeting the condition of eligibility in this section (whether or not any                        provision has been made under subsection (1)) if the person does not expect to pay income tax at the additional rate or the                        dividend additional rate for the relevant tax year.                  

(4)Regulations may provide that a person is treated as not meeting the condition of eligibility in this section in any of the                        following cases—                  

(a)if the person has made, or expects to make, a claim under section 809B of the Income Tax Act 2007 (claim for remittance basis                        to apply) for the relevant tax year;                  

(b)if the person expects section 809E of that Act (application of remittance basis in certain cases without claim) to apply to                        the person for the relevant tax year;                  

(c)if the person meets any other conditions specified in the regulations.                  

(5)In this section “the relevant tax year”, in relation to a declaration of eligibility, means the tax year in which the date of the declaration falls.                  

Commencement Information

I9S. 10 partly in force at Royal Assent; s. 10 in force for specified purposes at Royal Assent, see s. 75(1)(c)

### 11Neither the person nor his or her partner may be claiming universal creditU.K.

(1)A person meets the condition of eligibility in this section if, at the date of the declaration—                  

(a)universal credit is not payable to the person in respect of any relevant assessment period (see subsection (2)), and                  

(b)there is no subsisting claim that would result in universal credit becoming payable to the person in respect of a relevant                        assessment period.                  

(2)In subsection (1) “relevant assessment period”, in relation to a declaration of eligibility, means any assessment period (within the meaning of the relevant legislation)                        that includes—                  

(a)the date of the declaration, or                  

(b)the whole or any part of the entitlement period for which the declaration is made.                  

(3)For the purposes of subsection (1) universal credit is payable to a person in respect of a relevant assessment period if it                        would be so payable but for the reduction of the award of universal credit to nil under the relevant legislation.                  

(4)In the case of a declaration of eligibility made for the purposes of opening a childcare account, the reference in subsection                        (2) to the entitlement period for which the declaration is made is to be read as a reference to the period of 3 months beginning                        with the date of the declaration.                  

(5)Regulations may specify other circumstances in which a person is to be treated as meeting, or not meeting, the condition of                        eligibility in this section.                  

(6)In this section “the relevant legislation” means—                  

(a)Part 1 of the Welfare Reform Act 2012, or                  

(b)any provision made for Northern Ireland which corresponds to that Part of that Act.                  

Commencement Information

I10S. 11 partly in force at Royal Assent; s. 11 in force for specified purposes at Royal Assent, see s. 75(1)(c)

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## Qualifying childrenU.K.

### 14Qualifying childU.K.

(1)For the purposes of this Act “qualifying child” means a child of a description specified in regulations.                  

(2)Regulations under this section may, in particular, specify different descriptions for different periods.                  

Commencement Information

I11S. 14 partly in force at Royal Assent; s. 14 in force for specified purposes at Royal Assent, see s. 75(1)(c)

## Childcare accountsU.K.

### 15Childcare accountsU.K.

(1)In this Act “childcare account” means an account which—                  

(a)is held by a person for the purpose of receiving top-up payments in respect of a qualifying child,                  

(b)is provided by a person or body within section 16(1),                  

(c)satisfies the requirements imposed by or under this Act, and                  

(d)has been opened in accordance with this Act.                  

(2)Each childcare account must be held in respect of one child only.                  

(3)Regulations may—                  

(a)impose other requirements which must be satisfied in relation to childcare accounts, and                  

(b)make provision about the way in which payments may be made into, or from, childcare accounts.                  

(4)Regulations may provide that a person of a specified description may, or may in specified circumstances, manage a childcare                        account on behalf of the account-holder.                  

(5)The provision that may be made by regulations under subsection (4) includes—                  

(a)provision enabling HMRC to appoint a person for the purpose of managing a childcare account on the account-holder's behalf,                        and                  

(b)provision specifying functions in relation to the management of a childcare account which persons, or persons of a specified                        description, may not perform on an account-holder's behalf.                  

(6)In subsections (4) and (5) “specified” means specified in the regulations.                  

(7)Where a contract is entered into by or on behalf of a person who is 16 or 17 years old in connection with a childcare account                        held by the person, the contract has effect as if the person had been 18 or over when it was entered into.                  

(8)If the Commissioners so consent, fees may be charged in connection with a childcare account by the account provider.                  

(9)But the account provider may not charge any fees merely for—                  

(a)providing a childcare account,                  

(b)enabling a qualifying payment to be made into a childcare account (see section 19), or                  

(c)enabling a payment to be made from a childcare account in respect of qualifying childcare for the child in respect of whom                        the account is held.                  

(10)In this Act—                  

(a)the “account-holder”, in relation to a childcare account, means the person who holds the childcare account, and                  

(b)the “account provider”, in relation to a childcare account, means the person or body who provides the childcare account.                  

Commencement Information

I12S. 15 partly in force at Royal Assent; s. 15 in force for specified purposes at Royal Assent, see s. 75(1)(c)

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### 17Opening a childcare accountU.K.

(1)A person who wishes to receive top-up payments (the “applicant”) must make an application to HMRC to open a childcare account.                  

(2)HMRC may grant the application only if—                  

(a)the applicant has made a valid declaration of eligibility,                  

(b)the child in respect of whom the account is to be held (“the relevant child”) is a qualifying child at the date of the application,                        and                  

(c)on the day on which the application is granted, there is no other person who holds an active childcare account in respect                        of the relevant child (see subsection (3)).                  

(3)For the purposes of this Act a childcare account is “active” at any time if—                  

(a)qualifying payments may be made into the account at that time (see section 19), or                  

(b)such payments could, in the absence of section 19(4) (limit on amount of qualifying payments that may be made in entitlement                        period), be made into the account at that time.                  

(4)Regulations may make further provision about opening a childcare account, including, in particular—                  

(a)provision about the making of applications to open a childcare account, including provision enabling HMRC to specify the form                        and manner in which such applications may be made;                  

(b)provision specifying, or enabling HMRC to specify, information which applicants must provide to specified persons or to persons                        of a specified description;                  

(c)provision specifying circumstances in which a person, or a person of a specified description, may make an application to open                        a childcare account on behalf of an applicant, including provision enabling HMRC to appoint a person for that purpose;                  

(d)provision requiring HMRC to provide specified information to specified persons or to persons of a specified description.                  

(5)In subsection (4) “specified” means specified in the regulations.                  

Commencement Information

I13S. 17 partly in force at Royal Assent; s. 17 in force for specified purposes at Royal Assent, see s. 75(1)(c)

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### 19Payments into childcare accountsU.K.

(1)In this Act “qualifying payment” means any payment made into a childcare account, other than—                  

(a)a top-up payment, or                  

(b)a repayment of the whole or part of any payment made from the childcare account.                  

But for the purposes of paragraph (b) a withdrawal made by the account-holder is not to be regarded as a payment made from                     a childcare account.                  

(2)Any person (including the account-holder) may make a qualifying payment into a childcare account during an entitlement period,                        provided that—                  

(a)the account-holder has made a valid declaration of eligibility for the entitlement period, and                  

(b)the child in respect of whom the account is held is a qualifying child at the time of the payment.                  

This is subject to any provision made by or under this Act.

(3)More than one qualifying payment may be made into a childcare account during an entitlement period.                  

(4)But the sum of any qualifying payments made into a childcare account in an entitlement period must not exceed the relevant                        maximum for the entitlement period.                  

(5)The relevant maximum for an entitlement period is £2,000.                  

This is subject to subsection (6).

(6)Regulations may provide, or enable HMRC to provide, that in circumstances specified in the regulations the relevant maximum                        for an entitlement period is an amount—                  

(a)specified in, or determined in accordance with, the regulations, or                  

(b)determined by HMRC in accordance with powers conferred by the regulations.                  

(7)Regulations may amend subsection (5) so as to substitute a different amount or amounts for any amount for the time being specified                        there.                  

(8)For the purposes of subsection (4), any amount paid into a childcare account at any time during an entitlement period is to                        be disregarded if at a later time during the entitlement period an equivalent amount is withdrawn from the account by the                        account-holder.                  

(9)The account provider must notify HMRC of any qualifying payments made into a childcare account.                  

Commencement Information

I14S. 19 partly in force at Royal Assent; s. 19 in force for specified purposes at Royal Assent, see s. 75(1)(c)

### 20Payments that may be made from childcare accountsU.K.

(1)The only payments which the account-holder may authorise to be made from a childcare account are—                  

(a)payments in respect of qualifying childcare for the relevant child, and                  

(b)withdrawals made by the account-holder.                  

(2)In this section “the relevant child”, in relation to a childcare account, means the child in respect of whom the account is held.                  

(3)A payment within subsection (1) is referred to in this Act as a permitted payment.                  

(4)A payment made from a childcare account which—                  

(a)is not a permitted payment, and                  

(b)is not made by the account provider to HMRC under this Act,                  

is referred to in this Act as a prohibited payment.

(5)Permitted payments may be made from a childcare account in an entitlement period whether or not the account-holder has made                        a valid declaration of eligibility for the entitlement period.                  

(6)Where—                  

(a)a payment is made from a childcare account, and                  

(b)only part of the payment is in respect of qualifying childcare for the relevant child,                  

so much of the payment as is properly attributable to the costs of qualifying childcare for the relevant child is to be treated                     as a permitted payment, and the remainder is to be treated as a prohibited payment.                  

(7)Regulations may make provision for determining, for the purposes of subsection (6), how much of a payment is properly attributable                        to the costs of qualifying childcare for the relevant child.                  

(8)For the meaning of “qualifying childcare”, see section 2.                  

Commencement Information

I15S. 20 partly in force at Royal Assent; s. 20 in force for specified purposes at Royal Assent, see s. 75(1)(c)

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### 24Imposing restrictions on childcare accountsU.K.

(1)If such conditions as may be specified in regulations are met, HMRC may make an account restriction order.                  

(2)An “account restriction order” is an order imposing any of the following restrictions in relation to a childcare account specified                        in the order—                  

(a)a restriction that prevents the making of any qualifying payments into the childcare account;                  

(b)a restriction that prevents the making of any payments from the childcare account in respect of qualifying childcare.                  

(3)Regulations may, in particular, provide that HMRC may make an account restriction order where—                  

(a)a person wishes—                  

(i)to open a childcare account in respect of a child, or                  

(ii)to make a declaration of eligibility in relation to a childcare account held in respect of a child, and                  

(b)another person holds a childcare account in respect of the child.                  

(4)Regulations may make further provision about account restriction orders, including, in particular—                  

(a)provision about the procedure for making an account restriction order;                  

(b)provision enabling an account restriction order to impose a restriction for a period specified in the order (which may be                        unlimited);                  

(c)provision enabling an account restriction order to provide that a restriction does not apply in such cases as may be specified                        in the order;                  

(d)provision enabling a person who wishes to open a childcare account or make a declaration of eligibility to apply to HMRC for                        an account restriction order to be made in relation to another person who holds a childcare account;                  

(e)provision enabling an account restriction order to be revoked, including provision for the account-holder to apply for its                        revocation;                  

(f)provision specifying the circumstances in which such an application may be granted.                  

(5)If an account restriction order is made in relation to a childcare account—                  

(a)HMRC must give a copy of the order to the account-holder and to the account provider, and                  

(b)the account provider must comply with the order.                  

Commencement Information

I16S. 24 partly in force at Royal Assent; s. 24 in force for specified purposes at Royal Assent, see s. 75(1)(c)

### 25Closure of childcare accountsU.K.

(1)Regulations may make provision about closing childcare accounts.                  

(2)The provision that may be made by regulations under this section includes, in particular—                  

(a)provision requiring a childcare account to be closed in specified circumstances or if specified conditions are met;                  

(b)provision about what is to happen to any funds held in a childcare account when it is closed;                  

(c)provision for the repayment to HMRC of a proportion of any such funds, calculated in accordance with the regulations.                  

(3)In subsection (2) “specified” means specified in the regulations.                  

Commencement Information

I17S. 25 partly in force at Royal Assent; s. 25 in force for specified purposes at Royal Assent, see s. 75(1)(c)

## InformationU.K.

### 26Power to obtain information or documentsU.K.

(1)HMRC may by notice in writing require a person of a description specified in regulations to provide information or documents                        which HMRC require in connection with their functions under this Act.                  

(2)HMRC may require a person to provide information or a document only if it is in the person's possession or power.                  

(3)Regulations may make provision about notices under subsection (1), including, in particular—                  

(a)provision requiring a notice to contain information specified in the regulations;                  

(b)provision requiring, or enabling a notice to require, information or documents to be provided in a form or manner specified                        in the regulations or the notice;                  

(c)provision requiring, or enabling a notice to require, information or documents to be provided at a time, or within a period,                        specified in the regulations or the notice;                  

(d)provision requiring, or enabling a notice to require, information or documents to be provided in respect of a period specified                        in the regulations or the notice;                  

(e)provision specifying descriptions of information or document which a notice may not require a person to provide;                  

(f)provision about determining in specified cases whether information or documents are of such a description, including provision                        for that determination to be made by a person or body specified in the regulations.                  

Commencement Information

I18S. 26 partly in force at Royal Assent; s. 26 in force for specified purposes at Royal Assent, see s. 75(1)(c)

### 27Information sharing between HMRC and othersU.K.

(1)Subsection (2) applies to information which is held as mentioned in section 18(1) of the Commissioners for Revenue and Customs                        Act 2005 (confidentiality).                  

(2)Information to which this subsection applies may be disclosed to any person for use for the purpose of enabling or assisting                        the exercise of any of the functions of HMRC under this Act.                  

(3)Information disclosed in reliance on subsection (2) may not be further disclosed to any other person without the authority                        of the Commissioners (which may be general or specific).                  

(4)A person who holds information may disclose that information to HMRC if the disclosure is made for the purposes of the exercise                        by HMRC of their functions under this Act.                  

(5)This section does not limit the circumstances in which information may be disclosed apart from this section.                  

(6)In section 127 of the Welfare Reform Act 2012 (information-sharing between Secretary of State and HMRC), in subsection (7),                        in the definition of “HMRC function”—                  

(a)at the end of paragraph (a), omit “or”, and                  

(b)at the end of paragraph (b) insert “, or                   

(c)which is conferred by or under the Childcare Payments Act 2014;”.                  

### 28Wrongful disclosure of information received by others from HMRCU.K.

(1)If revenue and customs information relating to a person is disclosed in contravention of section 27(3) and the identity of                        the person—                  

(a)is specified in the disclosure, or                  

(b)can be deduced from it,                  

section 19 of the Commissioners for Revenue and Customs Act 2005 (wrongful disclosure) applies in relation to the disclosure                     as it applies in relation to a disclosure of such information in contravention of section 20(9) of that Act.                  

(2)“Revenue and customs information relating to a person” has the meaning given by section 19(2) of the Commissioners for Revenue and Customs Act 2005.                  

### 29Supply of information to HMRC by childminder agenciesU.K.

In section 83A of the Childcare Act 2006 (supply of information to HMRC etc by childminder agencies), in subsection (2), in                     paragraph (b), for the words from “for the purposes of” to the end of that paragraph substitute “for the purposes of—                   

(i)their functions in relation to tax credits, or                  

(ii)their functions under the Childcare Payments Act 2014;”.                  

## Special rules affecting tax credit and universal credit claimantsU.K.

### 30Termination of tax credit awardsU.K.

(1)In this section “the relevant day”, in relation to a person who has made a declaration of eligibility for an entitlement period, means—                  

(a)the first day of the entitlement period, or                  

(b)if later, the day on which the declaration of eligibility for the entitlement period was made.                  

(2)This subsection applies where—                  

(a)a person (“P”) has made a valid declaration of eligibility for an entitlement period,                  

(b)an award of a tax credit is or has been made—                  

(i)to P or to a person who is P's partner on the relevant day (whether on a single claim or a joint claim), or                  

(ii)to both of them on a joint claim, and                  

(c)the award is for a period that includes the relevant day.                  

(3)Where subsection (2) applies, the award of the tax credit terminates immediately before the relevant day, regardless of whether                        the decision on the claim was made before or after the relevant day.                  

This is subject to subsections (4) to (7).

(4)Where a person has made a valid declaration of eligibility for more than one entitlement period beginning during the determination                        period (see subsection (5)), the award of the tax credit is terminated immediately before the day which is the relevant day                        in relation to the first of those entitlement periods.                  

(5)In subsection (4) the “determination period”, in relation to an award of a tax credit, means the period—                  

(a)beginning with the day on which the claim for the tax credit was made, and                  

(b)ending with the day on which the decision on the claim was made.                  

(6)Where—                  

(a)a person has applied for a review under section 21A of the Tax Credits Act 2002 of a decision not to make an award of a tax                        credit or to terminate such an award, and                  

(b)the conclusion on the review is that the decision is varied or cancelled,                  

subsection (3) does not apply in respect of the award in relation to any entitlement period beginning before the day on which                     the person is notified of the conclusion on the review.                  

(7)Where—                  

(a)a person has brought an appeal under section 38 of the Tax Credits Act 2002 against a decision not to make an award of a tax                        credit or to terminate such an award, and                  

(b)the appeal is upheld,                  

subsection (3) does not apply in respect of the award in relation to any entitlement period beginning before the day on which                     the person is notified of the decision on the appeal.                  

(8)Where an award of a tax credit made to a person is terminated by virtue of this section—                  

(a)HMRC must notify the person of that fact,                  

(b)the tax credits legislation applies in relation to the person with such modifications as may be made in regulations, and                  

(c)the amount of any tax credit to which the person is entitled is to be calculated in accordance with the tax credits legislation,                        subject to any such modifications of that legislation.                  

(9)Regulations may make further provision for the purpose of securing that, where a person makes a valid declaration of eligibility,                        any entitlement of the person, or a person who is the person's partner, to payments under the tax credits legislation ceases                        immediately before the relevant day.                  

(10)Regulations under subsection (9) may, in particular—                  

(a)provide that the tax credits legislation applies in relation to the person whose entitlement to such payments has ceased with                        such modifications as may be specified in the regulations, and                  

(b)apply any provision of this section with such modifications as may be so specified.                  

(11)If—                  

(a)a person makes a declaration of eligibility for an entitlement period, and                  

(b)at any time after the relevant day HMRC determine that the declaration was not valid,                  

that does not affect anything done by virtue of this section as a result of the making of the declaration.

(12)In this section—                  
          -  “joint claim” and “single claim” have the same meaning as in the Tax Credits Act 2002;                         
          -  “the tax credits legislation” means the Tax Credits Act 2002 and any provision made under that Act.                         

(13)This section ceases to have effect when the repeal of Part 1 of the Tax Credits Act 2002 made by Schedule 14 to the Welfare                        Reform Act 2012 has fully come into force.                  

Modifications etc. (not altering text)

C1This section ceases to have effect in accordance with s. 30(13)

Commencement Information

I19S. 30 partly in force at Royal Assent; s. 30 in force for specified purposes at Royal Assent, see s. 75(1)(c)

### 31Power to provide for automatic termination of universal creditU.K.

(1)Regulations may make provision for the purpose of securing that, where a person has made a valid declaration of eligibility—                  

(a)any award of universal credit made to the person, or to a person who is the person's partner, is terminated,                  

(b)any claim which the person, or a person who is the person's partner, has made for universal credit may not be proceeded with,                        and                  

(c)any entitlement of the person, or a person who is the person's partner, to payments under relevant social security legislation                        ceases.                  

(2)The provision that may be made by regulations under subsection (1) includes—                  

(a)provision amending this Act, including—                  

(i)provision amending or repealing section 11, and                  

(ii)provision made in consequence of any provision made by regulations under subsection (1);                  

(b)provision conferring power on the appropriate national authority to make regulations containing—                  

(i)provision about calculating, in a case falling within subsection (1)(a) to (c), the amount of any payment to which a person                        is entitled;                  

(ii)provision modifying the application of any relevant social security legislation, or any provision made under any such legislation,                        in such a case.                  

(3)In subsection (2)(b) “the appropriate national authority” means—                  

(a)in relation to universal credit payable under Part 1 of the Welfare Reform Act 2012, the Secretary of State;                  

(b)in relation to universal credit payable under any provision made for Northern Ireland which corresponds to that Part of that                        Act, a Northern Ireland department.                  

(4)The following is “relevant social security legislation” for the purposes of this section—                  

(a)the Social Security Administration Act 1992;                  

(b)the Social Security Administration (Northern Ireland) Act 1992;                  

(c)the Social Security Act 1998;                  

(d)the Social Security (Northern Ireland) Order 1998 (S.I. 1998/1506 (N.I. 10));                  

(e)Part 1 of the Welfare Reform Act 2012;                  

(f)any provision made for Northern Ireland which corresponds to that Part of that Act.                  

Commencement Information

I20S. 31 partly in force at Royal Assent; s. 31 in force for specified purposes at Royal Assent, see s. 75(1)(c)

### 32Power to disqualify tax credit claimants from obtaining top-up paymentsU.K.

(1)This section applies in relation to a person (“P”) if—                  

(a)P, or a person who is P's partner, makes a claim (whether a single or a joint claim) that results in an award of a tax credit                        being made for a relevant period (see subsection (2)),                  

(b)the claim is made during an entitlement period for which P or P's partner has made a valid declaration of eligibility,                  

(c)there has not been a change of circumstances in relation to P or P's partner since the beginning of the entitlement period,                        and                  

(d)P, or a person who is P's partner, makes a declaration of eligibility within the period of 12 months beginning with the day                        on which the claim was made.                  

(2)In subsection (1)(a) “relevant period”, in relation to an entitlement period, means a period that includes the whole or any part of the entitlement period.                  

(3)If this section applies in relation to a person, HMRC may give the person a warning notice.                  

(4)A warning notice is a notice stating that, if this section or section 33 (power to disqualify universal credit claimants from                        obtaining top-up payments) applies in relation to the person at any time during the period of 4 years beginning with the day                        on which the notice is given, HMRC may give the person a disqualification notice (see section 34).                  

(5)Regulations may make provision—                  

(a)about what is, or is not, to be regarded as a change of circumstances in relation to a person for the purposes of this section;                  

(b)specifying cases in which something which would otherwise be a change of circumstances is not to be treated as such for the                        purposes of this section.                  

(6)Regulations may amend subsection (1)(d) so as to substitute a different period for the period for the time being specified                        there.                  

(7)In this section “joint claim” and “single claim” have the same meaning as in the Tax Credits Act 2002.                  

Commencement Information

I21S. 32 partly in force at Royal Assent; s. 32 in force for specified purposes at Royal Assent, see s. 75(1)(c)

### 33Power to disqualify universal credit claimants from obtaining top-up paymentsU.K.

(1)This section applies in relation to a person (“P”) if—                  

(a)P, or a person who is P's partner, makes a claim (whether jointly or otherwise) that results in universal credit becoming                        payable for a relevant assessment period (see subsection (2)),                  

(b)the claim is made during an entitlement period for which P or P's partner has made a valid declaration of eligibility,                  

(c)there has not been a change of circumstances in relation to P or P's partner since the beginning of the entitlement period,                        and                  

(d)P, or a person who is P's partner, makes a declaration of eligibility within the period of 12 months beginning with the day                        on which the claim was made.                  

(2)In subsection (1)(a) “relevant assessment period”, in relation to an entitlement period, means any assessment period (within the meaning of the relevant legislation) that                        includes the whole or any part of the entitlement period.                  

(3)If this section applies in relation to a person, HMRC may give the person a warning notice.                  

(4)A warning notice is a notice stating that, if this section or section 32 (power to disqualify tax credit claimants from obtaining                        top-up payments) applies in relation to the person at any time during the period of 4 years beginning with the day on which                        the notice is given, HMRC may give the person a disqualification notice (see section 34).                  

(5)Regulations may make provision—                  

(a)about what is, or is not, to be regarded as a change of circumstances in relation to a person for the purposes of this section;                  

(b)specifying cases in which something which would otherwise be a change of circumstances is not to be treated as such for the                        purposes of this section.                  

(6)Regulations may amend subsection (1)(d) so as to substitute a different period for the period for the time being specified                        there.                  

(7)In this section “the relevant legislation” means—                  

(a)Part 1 of the Welfare Reform Act 2012, or                  

(b)any provision made for Northern Ireland which corresponds to that Part of that Act.                  

Commencement Information

I22S. 33 partly in force at Royal Assent; s. 33 in force for specified purposes at Royal Assent, see s. 75(1)(c)

### 34. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                  

## Recovery of top-up paymentsU.K.

### 35. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                  

### 36. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                  

### 37. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                  

### 38. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                  

### 39Recovery of top-up payments where person fails to give childcare account noticeU.K.

### 40. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                  

### 41. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                  

## PenaltiesU.K.

### 42. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                  

### 43Penalties for failure to comply with information noticeU.K.

(1)If—                  

(a)a person fails to comply with a notice under section 26 (an “information notice”) before the end of the period within which                        the person was required to comply with it, and                  

(b)the information notice has become final (see subsection (6)),                  

HMRC may give the person a warning notice.

(2)A “warning notice” is a notice requiring the person to comply with the information notice before the end of the period of                        30 days beginning with the day on which the warning notice is given.                  

(3)If a person fails to comply with a warning notice given under this section, the person is liable to a penalty under this section.                  

(4)The amount of the penalty may not exceed £300.                  

(5)Regulations may amend subsection (4) so as to substitute a different amount for the amount for the time being specified there.                  

(6)An information notice becomes final—                  

(a)in a case where the person does not apply for a review of the decision to give the information notice within the period specified                        in section 57(2)(a), at the end of that period,                  

(b)in a case where—                  

(i)the person applies for a review of the decision but does not give notice of an appeal against the decision, and                  

(ii)the decision has not been cancelled,                  

at the end of the period in which notice of an appeal against the decision could have been given, or

(c)in a case where—                  

(i)notice of such an appeal has been given, and                  

(ii)the decision has not been quashed on appeal,                  

on the day on which the appeal is determined or withdrawn.

(7)Accordingly—                  

(a)if a person is granted an extension of the period for making an application for a review of a decision to give an information                        notice, any warning notice given to the person in respect of the information notice before the application for the review                        is made is of no effect, and                  

(b)if a person is permitted to give notice of an appeal against an information notice after the end of the period mentioned in                        subsection (6)(b), any warning notice given to the person in respect of the information notice before the notice of appeal                        is given is of no effect.                  

Commencement Information

I23S. 43 partly in force at Royal Assent; s. 43 in force for specified purposes at Royal Assent, see s. 75(1)(c)

### 44Penalties for providing inaccurate information or documentsU.K.

(1)A person is liable to a penalty under this section if—                  

(a)in complying with a notice under section 26, the person provides inaccurate information or provides a document that contains                        an inaccuracy, and                  

(b)condition A, B or C is met.                  

(2)Condition A is that the inaccuracy is careless or deliberate.                  

An inaccuracy is careless if it is due to a failure by the person to take reasonable care.

(3)Condition B is that the person knows of the inaccuracy at the time the information or document is provided but does not inform                        HMRC at that time.                  

(4)Condition C is that the person—                  

(a)discovers the inaccuracy some time later, and                  

(b)fails to take reasonable steps to inform HMRC.                  

(5)The amount of a penalty under this section may not exceed £3,000.                  

(6)Regulations may amend subsection (5) so as to substitute a different amount for the amount for the time being specified there.                  

Commencement Information

I24S. 44 partly in force at Royal Assent; s. 44 in force for specified purposes at Royal Assent, see s. 75(1)(c)

### 45. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                  

### 46Penalties for dishonestly obtaining top-up payments, etcU.K.

(1)A person (“P”) is liable to a penalty under this section if—                  

(a)for the purpose of obtaining a relevant payment for P or another (see subsection (2)), P does, or omits to do, any act, and                  

(b)P's conduct involves dishonesty.                  

(2)The following payments are “relevant payments”—                  

(a)a top-up payment;                  

(b)a payment from a childcare account.                  

(3)The amount of the penalty may not exceed—                  

(a)£3,000, or                  

(b)the sum of any relevant amounts obtained as mentioned in subsection (1),                  

whichever is greater.

(4)In subsection (3) “relevant amount” means—                  

(a)in the case of a top-up payment, the amount of the payment, and                  

(b)in the case of a payment from a childcare account, an amount equal to the top-up element of the payment.                  

(For provision about calculating the top-up element of a payment, see section 21.)

(5)Regulations may amend subsection (3)(a) so as to substitute a different amount for the amount for the time being specified                        there.                  

(6)Where—                  

(a)a body corporate is liable to a penalty under this section, and                  

(b)the liability is attributable (wholly or partly) to the dishonesty of a person falling within subsection (7),                  

that person (as well as the body corporate) is liable to a penalty under this section.

(7)The persons are—                  

(a)a director, manager, secretary or similar officer of the body corporate;                  

(b)any person who was purporting to act in such a capacity.                  

(8)Where the affairs of a body corporate are managed by its members, subsection (6) applies in relation to the acts and defaults                        of a member, in connection with that management, as if the member were a director of the body corporate.                  

(9)Where—                  

(a)a Scottish firm is liable to a penalty under this section, and                  

(b)the liability is attributable (wholly or partly) to the dishonesty of a partner of the firm or a person purporting to act                        as such a partner,                  

that person (as well as the firm) is liable to a penalty under this section.

Commencement Information

I25S. 46 partly in force at Royal Assent; s. 46 in force for specified purposes at Royal Assent, see s. 75(1)(c)

### 47. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                  

### 48. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                  

## Other enforcement powersU.K.

### 49. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                  

### 50Power to exclude childcare from being qualifying childcareU.K.

(1)This section applies if—                  

(a)a person has done, or omitted to do, any act for the purpose of obtaining a payment from a childcare account,                  

(b)the person's conduct involved dishonesty, and                  

(c)as a result the person has been convicted of an offence or has been notified of a penalty under section 46.                  

(2)HMRC may direct that any childcare provided by the person is not qualifying childcare for the purposes of this Act.                  

(3)A direction under this section has effect for 12 months beginning with the day on which it is made.                  

(4)Regulations may amend subsection (3) so as to substitute a different period for the period for the time being specified there.                  

(5)Where a direction under this section is made in relation to a person, the direction also applies in relation to—                  

(a)any body corporate of which the person is a director or other officer,                  

(b)any body corporate of which the person is a member, if the affairs of the body corporate are managed by its members, and                  

(c)any Scottish firm of which the person is a partner.                  

(6)HMRC must—                  

(a)give a copy of a direction under this section to—                  

(i)the person or persons in relation to whom it applies, and                  

(ii)any person or body which provides childcare accounts, and                  

(b)publish the direction in the way appearing to HMRC to be best calculated to bring it to the attention of those who may be                        affected by it.                  

(7)HMRC may revoke a direction made under this section.                  

Commencement Information

I26S. 50 partly in force at Royal Assent; s. 50 in force for specified purposes at Royal Assent, see s. 75(1)(c)

### 51. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                  

### 52. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                  

### 53. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                  

### 54. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                  

### 55. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                  

## Reviews and appealsU.K.

### 56. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                  

### 57. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                  

### 58. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                  

### 59. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                  

### 60. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                  

### 61. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                  

## Compensatory paymentsU.K.

### 62Compensatory paymentsU.K.

(1)Where a person has in circumstances specified in regulations been deprived of the opportunity to receive top-up payments in                        respect of a child for a period, HMRC must pay the person an amount equal to 20% of the costs incurred on qualifying childcare                        in respect of the child during the period.                  

(2)But the amount paid to a person by HMRC under this section for a period may not exceed a maximum amount specified in, or determined                        in accordance with, regulations.                  

(3)The circumstances that may be specified in regulations under this section include, in particular—                  

(a)where an appealable decision is varied or cancelled on a review under section 57, and                  

(b)where an appealable decision is quashed (whether wholly or partly) under section 60.                  

(4)Payments may be made to a person under this section regardless of whether the person—                  

(a)has opened a childcare account, or                  

(b)has made a valid declaration of eligibility.                  

(5)Regulations may make further provision about making payments under this section.                  

(6)Regulations may substitute a different percentage for the percentage for the time being specified in subsection (1).                  

Commencement Information

I27S. 62 partly in force at Royal Assent; s. 62 in force for specified purposes at Royal Assent, see s. 75(1)(c)

## Withdrawal of existing tax exemptionsU.K.

### 63Restrictions on claiming tax exemption for childcare vouchersU.K.

(1)Section 270A of ITEPA 2003 (limited exemption from income tax for qualifying childcare vouchers) is amended as follows.                  

(2)In subsection (1)—                  

(a)before “employee” insert “ eligible ”, and                  

(b)at the end insert—                  

“For the meaning of “eligible employee”, see section 270AA.”                  

(3)In subsection (5)(a), before “employees” insert “ eligible ”.                  

(4)After section 270A of ITEPA 2003 insert—                  

#### “270AAMeaning of “eligible employee”

(1)An employee is an eligible employee for the purposes of section 270A if conditions A to C are met in relation to the employee.                  

(2)Condition A is that the employee—                  

(a)was employed by the employer immediately before the relevant day, and                  

(b)has not ceased to be employed by the employer on or after that day.                  

(3)“The relevant day” means the day specified by the Treasury in regulations for the purposes of this section.                  

(4)Condition B is that there has not been a period of 52 tax weeks ending on or after the relevant day which has not included                           at least one qualifying week.                  

(5)In subsection (4)—                  
          -  “qualifying week” means a tax week in respect of which a qualifying childcare voucher has been provided for the employee under the scheme                              by the employer in respect of a child, and                         
          -  “tax week” has the meaning given by section 270A(7).                         

(6)Condition C is that the employee has not given the employer a childcare account notice.                  

(7)A “childcare account notice” is a written notice informing the employer that the employee wishes to leave the scheme in order                           to be able to open a childcare account under section 17 of the Childcare Payments Act 2014 or enable the employee's partner                           to do so.                  

(8)In subsection (7) “partner” is to be read in accordance with regulations made under section 3(5) of that Act.”                  

(5)In section 717 of ITEPA 2003 (orders and regulations), in subsection (4), after “employments),” insert “ section 270AA(3) (exemption from income tax for qualifying childcare vouchers: meaning of “eligible employee”), ”.                  

### 64Restrictions on claiming tax exemption for employer-contracted childcareU.K.

(1)Section 318A of ITEPA 2003 (childcare: limited exemption from income tax for other care) is amended as follows.                  

(2)In subsection (1)—                  

(a)before “employee” insert “ eligible ”, and                  

(b)after “For” insert “ the meaning of “eligible employee”, see section 318AZA, and for ”.                  

(3)In subsection (5)(a), before “employees” insert “ eligible ”.                  

(4)After section 318A of ITEPA 2003 insert—                  

#### “318AZAMeaning of “eligible employee”

(1)An employee is an eligible employee for the purposes of section 318A if conditions A to C are met in relation to the employee.                  

(2)Condition A is that the employee—                  

(a)was employed by the employer immediately before the relevant day, and                  

(b)has not ceased to be employed by the employer on or after that day.                  

(3)“The relevant day” means the day specified by the Treasury in regulations for the purposes of this section.                  

(4)Condition B is that there has not been a period of 52 tax weeks ending on or after the relevant day which has not included                           at least one qualifying week.                  

(5)In subsection (4)—                  
          -  “qualifying week” means a tax week in which care for a child has been provided for the employee under the scheme by the employer in circumstances                              in which conditions A to D in section 318A are met, and                         
          -  “tax week” has the meaning given by section 318A(7).                         

(6)Condition C is that the employee has not given the employer a childcare account notice.                  

(7)A “childcare account notice” is a written notice informing the employer that the employee wishes to leave the scheme in order                           to be able to open a childcare account under section 17 of the Childcare Payments Act 2014 or enable the employee's partner                           to do so.                  

(8)In subsection (7) “partner” is to be read in accordance with regulations made under section 3(5) of that Act.                  

(9)For the meaning of “care” and “child”, see section 318B.”                  

(5)In section 318B of ITEPA 2003 (childcare: meaning of “care”, “child” etc), in subsection (1), for “318 and 318A” substitute                        “ 318 to 318AZA ”.                  

(6)In section 717 of ITEPA 2003 (orders and regulations), in subsection (4), before “section 343(3)” insert “ section 318AZA(3) (exemption from income tax for other care: meaning of “eligible employee”), ”.                  

## GeneralU.K.

### 65Functions of Commissioners for Revenue and CustomsU.K.

The matters dealt with by and under this Act are to be under the management of the Commissioners for Her Majesty's Revenue                     and Customs.                  

### 66. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                  

### 67. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                  

### 68Northern IrelandU.K.

In Schedule 2 to the Northern Ireland Act 1998 (excepted matters), after paragraph 10B insert—

#### 

“10CThe operation of the Childcare Payments Act 2014.”                  

## Final provisionsU.K.

### 69Regulations: generalU.K.

(1)Any power to make regulations under this Act is exercisable by statutory instrument.                  

(2)Any power to make regulations under the following provisions of this Act is exercisable by the Treasury—                  

(a)section 1(5) (power to amend rate of top-up payment);                  

(b)section 2(3)(b) to (d) (qualifying childcare);                  

(c)sections 3, 7 to 11 and 13 (eligibility);                  

(d)section 5(2) (power to alter length of entitlement period);                  

(e)section 14 (qualifying child);                  

(f)section 19(7) (power to amend the relevant maximum);                  

(g)section 30 (termination of tax credit awards);                  

(h)section 31 (power to provide for automatic termination of universal credit);                  

(i)sections 32 and 33 (disqualification of tax credit or universal credit claimants from obtaining top-up payments);                  

(j)sections 43(5), 44(6) and 46(5) (powers to vary certain penalties);                  

(k)section 50(4) (power to alter period for which directions under section 50 have effect);                  

(l)section 62(6) (power to amend rate of compensatory payments);                  

(m)section 72 (power to make consequential amendments);                  

(n)section 75 (commencement).                  

(3)Any power to make regulations under a provision of this Act that is not mentioned in subsection (2) is exercisable by the                        Commissioners for Her Majesty's Revenue and Customs.                  

(4)Regulations under this Act may—                  

(a)make different provision for different purposes or in relation to different areas,                  

(b)contain incidental, supplemental, consequential or transitional provision or savings, and                  

(c)provide for a person to exercise a discretion in dealing with any matter.                  

(5)Subsection (4) does not apply to regulations under section 75 (see instead subsection (3) of that section).                  

### 70Regulations: Parliamentary controlU.K.

(1)A statutory instrument containing regulations under this Act is subject to annulment in pursuance of a resolution of either                        House of Parliament, unless the instrument—                  

(a)is required by subsection (3) or any other enactment to be laid in draft before, and approved by a resolution of, each House,                        or                  

(b)contains only regulations under section 75.                  

(2)Subsection (3) applies to a statutory instrument that contains (with or without other provisions)—                  

(a)regulations under section 1(5);                  

(b)regulations under section 2(3)(b), (c) or (d);                  

(c)the first regulations under each of sections 3 and 7 to 10;                  

(d)regulations under section 5(2);                  

(e)the first regulations under section 14;                  

(f)regulations under section 19(7) which substitute a lower amount for any amount for the time being specified in section 19(5);                  

(g)regulations under section 31;                  

(h)the first regulations under each of sections 32(5) and 33(5);                  

(i)regulations under section 32(6) or 33(6);                  

(j)regulations under section 43(5), 44(6) or 46(5);                  

(k)regulations under section 50(4);                  

(l)regulations under section 62(6);                  

(m)regulations under section 72.                  

(3)A statutory instrument to which this subsection applies may not be made unless a draft of the instrument has been laid before,                        and approved by a resolution of, each House of Parliament.                  

### 71InterpretationU.K.

(1)In this Act—                  
          -  “account-holder” has the meaning given by section 15(10);                         
          -  “account provider” has the meaning given by section 15(10);                         
          -  “appealable decision” has the meaning given by section 56(3);                         
          -  “childcare” has the meaning given by section 2(1);                         
          -  “childcare account” has the meaning given by section 15;                         
          -  “the Commissioners” means the Commissioners for Her Majesty's Revenue and Customs;                         
          -  “declaration of eligibility” has the meaning given by section 4;                         
          -  “enactment” includes—                          (a)
an enactment contained in subordinate legislation,
(b)
an enactment contained in, or in an instrument made under, an Act of the Scottish Parliament,
(c)
an enactment contained in, or in an instrument made under, a Measure or Act of the National Assembly for Wales, and
(d)
an enactment contained in, or in an instrument made under, Northern Ireland legislation;
 
          -  “entitlement period” means a period determined in accordance with section 5;                         
          -  “HMRC” means Her Majesty's Revenue and Customs;                         
          -  “ITEPA 2003” means the Income Tax (Earnings and Pensions) Act 2003;                         
          -  “partner” is to be read in accordance with regulations made under section 3(5);                         
          -  “permitted payment” has the meaning given by section 20(3);                         
          -  “prohibited payment” has the meaning given by section 20(4);                         
          -  “qualifying child” has the meaning given by section 14;                         
          -  “qualifying childcare” has the meaning given by section 2(2);                         
          -  “qualifying payment” has the meaning given by section 19;                         
          -  “tax credit” has the same meaning as in the Tax Credits Act 2002;                         
          -  “top-up element”, in relation to an amount, has the meaning given by section 21;                         
          -  “top-up payment” is to be read in accordance with section 1;                         
          -  “universal credit” means universal credit payable under—                          (a)
Part 1 of the Welfare Reform Act 2012, or
(b)
any provision made for Northern Ireland which corresponds to that Part of that Act.
 

(2)In this Act—                  

(a)references to a valid declaration of eligibility are to be read in accordance with section 4(2), and                  

(b)references to an active childcare account are to be read in accordance with section 17(3).                  

### 72Power to make consequential amendmentsU.K.

(1)Regulations may make such provision amending, repealing, revoking or applying with modifications any enactment to which this                        section applies as the Treasury consider necessary or expedient in consequence of any provision made by or under this Act.                  

(2)This section applies to—                  

(a)any enactment passed or made before the passing of this Act, and                  

(b)any enactment passed or made on or before the last day of the Session in which this Act is passed.                  

### 73Financial provisionsU.K.

(1)There is to be paid out of money provided by Parliament any increase attributable to this Act in the sums payable under any                        other Act out of money so provided.                  

(2)Subsections (3) and (4) apply if childcare accounts are provided by the Commissioners or the Director of Savings (“the relevant                        account provider”).                  

(3)Sums paid into childcare accounts are not to be paid into the Consolidated Fund.                  

(4)Sums payable from childcare accounts are not to be regarded as expenditure of the relevant account provider.                  

Commencement Information

I28S. 73 partly in force at Royal Assent; s. 73(1) in force at Royal Assent, see s. 75(1)(b), (2)

### 74ExtentU.K.

(1)Except as provided by subsection (2), this Act extends to England and Wales, Scotland and Northern Ireland.                  

(2)Any amendment or repeal made by this Act has the same extent as the provision amended or repealed.                  

### 75Commencement and short titleU.K.

(1)The following provisions of this Act come into force on the day on which this Act is passed—                  

(a)sections 65 and 68;                  

(b)sections 69 to 72, 73(1), 74 and this section;                  

(c)any power to make regulations under this Act.                  

(2)The remaining provisions of this Act come into force in accordance with provision contained in regulations.                  

(3)Regulations under subsection (2) may—                  

(a)make different provision for different purposes or in relation to different areas;                  

(b)make such transitory or transitional provision, or savings, as the Treasury consider necessary or expedient, including (in                        particular) such adaptations of provisions of this Act brought into force as appear to be necessary or expedient in consequence                        of other provisions of this Act not yet having come into force.                  

(4)This Act may be cited as the Childcare Payments Act 2014.