Tax relief for shared lives carers

20 December 2010

HMRC have published draft legislation extending the current income tax relief for foster carers to include shared lives carers from April 2011. The aim is to bring the tax treatment of carers who share their homes and daily lives with and adult placed with them by a local authority into line with the rules applying to foster carers. The existing simplified arrangements for adult placement carers are to be replaced with new 'qualifying care relief'.

The draft legislation is available on the HMRC website. Comments on the draft legislation are sought by 31 January 2011.