tax free childcare scheme

Can anyone please confirm:

Under the eligibility terms of the tax free childcare scheme where one of a couple is not working but being ‘paid or entitled to’ carers allowance they are treated as being in paid work so as to qualify for TFC. Does this cover the situation where carers allowance is not actually being paid due to receipt of maternity allowance and the overlapping benefit rules. I think para 13 b iv of Childcare Payments [Eligibility] Regulations 2015 covers this point? The person concerned wasn’t working immediately before maternity allowance is due to kick in because they are self employed and work had not been possible since just before lockdown?

Many thanks.

Hi Kat,
Sorry for the 2 month delay - only just saw your post when searching for something else about TFC.

I think the key wording is ‘paid or entitled’ at the beginning of reg 13(1)(b).

If, but for the payment of MA, the client would get CA, they remain entitled to it.

The overlapping benefit regs only affect what is paid, not entitlement, so I think the position for TFC remains as it would when CA was payable, assuming the client continues to meet all the conditions of CA.

In other words, yes, completely agree with you!