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Tax free childcare #1004

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Tax free childcare #1004

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vahid-ahmadi
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@vahid-ahmadi vahid-ahmadi commented Jan 10, 2025

Overview

This PR implements the Tax-Free Childcare (TFC) scheme calculation in PolicyEngine UK. The scheme provides government contributions towards childcare costs for eligible families. (Documentation link)

Key Features

  • Annual contribution of up to £2,000 per standard child and £4,000 per disabled child
  • Government contributes £2 for every £8 parents deposit (20% support)
  • Income threshold of £100,000 per partner
  • Compatible with 15/30 hours of free childcare programs

Fixes #1002

@MaxGhenis
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@PavelMakarchuk could you please meet with @vahid-ahmadi on this? Probably easier than text review for getting the parameters and vectorization in for the first time.

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Come initial comments but will meet to discuss in detail

Comment on lines +33 to +35
basic_age_condition = (age < 12)
age_under_17 = (age < 17)

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We want to parameterize values such as "12" and "17" - in general we try to avoid hard coding any values that could be adjusted through a parameter reform.

# Combine conditions
eligible = basic_age_condition | (age_under_17 & is_disabled)

return benunit.any(eligible)
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since this is a person level variable we do not need to add the benunit.any condition

we want to return basic_age_condition | (age_under_17 & is_disabled)

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add a class

Use underscores when naming files instead of "-"


class childcare_work_condition(Variable):
value_type = bool
entity = Person
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Similar question for each of the files - do we want to compute this for each person or for the entire Benefit Unit?

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Tax free childcare
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