If a foster carer has taxable profit from their fostering (fostering payments are more than their QCR threshold) they can either:
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Continue to use QCR, accept the threshold calculated and accept any profit which has gone over the threshold.
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Alternatively, a foster carer can decide to use the traditional profit and loss method which would require them to keep every single receipt that is spent on fostering and detail all their income and expenses. The majority of foster carers decide to continue to use QCR
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For any ‘profit’ made on your fostering income, the same rules apply whereby you still have your personal allowance to take advantage of before tax is calculated.
