High income child benefit charge letter - anyone else received this??

midlander81

Hello

Today I received a letter from hmrc regarding high income benefit charge.

The letter stated that they are writing to people as lots of customers aren;t aware of the high income child benefit rules. They have included links to calculators etc that you can use to work out how much you might owe.

I think I might owe about £1700 - totally my own fault. I kind of knew that I would need to sort this out at some point so I don't dispute the payment.

In the letter it says....

'we may charge you a penalty if you did not tell us about the charge in previous years, however we may reduce the amount that you have to pay if you tell us now'

I am going to call tomorrow.

DO you think that they will be lenient and allow me to pay over time? There is no way I can find £1700 immediately.

Craig1981

there should be no issue in a payment plan, so long as it is realistic figure that benefits both parties

Larac

I paid it back via my tax code. Quite painful at the time as had a negative code for around a year!

National_Debtline

Hi midlander81,


Unfortunately, child benefit can ask for the money to be paid back as a lump sum, but if the overpayment is considered to be large then you can as for 'time to pay' and spread the payments over a longer period - https://revenuebenefits.org.uk/child-benefit/guidance/how-do-child-benefit-and-guardians-allowance-work/overpayments/


You should do a SOA and work out what surplus you have available, and start putting money to one side immediately, in case you are asked to repay as a lump sum.


Laura
@natdebtline

kram

I called hmrc regarding a tax credit over payment & they were really good & even let me say what was an affordable monthly payment, which after a couple of months I had to reduce as well.

They didn't bat an eyelid, they are just happy to get a regular payment plan in place.

I hope you get it sorted.