Families earning over $180,000 a year could have childcare rebate reduced

Latest News | Apr 28, 2015

SCRAPPING the $7500 cap on childcare rebates that condemns parents to huge out-of-pocket costs is being seriously considered in the May budget as a trade-off to reducing the rebate for the wealthy.

The rebate cap has emerged as a nightmare for parents ­because, as soon as families reach the cap, the 50 per cent childcare rebate is slashed to zero, doubling care costs.

Social Services Minister Scott Morrison has revealed that wealthier families are telling the government that scrapping the cap is more important to them than keeping the ­rebate at 50 per cent.


Article Source: The Daily Telegraph