Frequently Asked Questions
Do foster carers need to pay tax?
It will depend on a number of factors, including the total amount of fostering payments you receive and if you have taxable income from another source such as work or a pension. However the majority of foster carers do not pay tax on their fostering payments. All foster carers need to register with HM Revenue and Customs and complete an annual tax return, even if you do not need to pay tax on your fostering payments.