Claiming child benefit guide discussion area

sheramber

yes, you get the credits even if you do not take the payment.

You will get credits until your youngest child is 12.

Topofthesass

Does anyone know what the latest is on the backdating of NI credits to stay at home parents (falling foul of CB reforms/policy post 2013, by not registering for Child Benefit when not claiming the benefit)? 

Money Mail/Steve Webb ran a feature on this in 2015 and both Martin Lewis and Claer Barrett have made references to it in TV appearances, however to date, only those already in retirement are being contacted to my knowledge. 

JayCurry2211

Does anyone know if NEST workplace pension employee contributions can reduce your adjusted net income for the purpose of the child benefit high income charge? I'm not sure if the contributions are before or after tax and if this affects their eligibility? Please help

Knoffles

Hi there, my partners salary increased above the £50k threshold (but well below the £60k) in January 2022 (due to a promotion). Does that mean we have to repay the 1% for just the last 3 months of that financial year or do we have to do it for the whole of that financial year.
Logically to me it feels like it should only be once the salary exceeds £50k but it is HMRC so wanted to be sure and all the guides I found, assume you start the year either above or below or cover what happens if you drop below £50k during the year.
Many thanks for your help.

Knoffles

Please ignore my above comment, I found out it was based on the P60 value.

Rubbersole22

Hi, 

I hope someone can help. It was only when looking at this site that I was shocked that there is a High-Income Child Benefit Tax Charge. 

I started a new job in November 2023, earning over £ 50,000. We have two children, and we claim child benefits for both. I am also in receipt of a pension that pushes my gross income to over £60,000. I'm right in thinking that I should cancel our child benefits as we will receive nothing as I'm over the £60,000 threshold? 

Dazed_and_C0nfused

Rubbersole22 said:

Hi, 

I hope someone can help. It was only when looking at this site that I was shocked that there is a High-Income Child Benefit Tax Charge. 

I started a new job in November 2023, earning over £ 50,000. We have two children, and we claim child benefits for both. I am also in receipt of a pension that pushes my gross income to over £60,000. I'm right in thinking that I should cancel our child benefits as we will receive nothing as I'm over the £60,000 threshold? 

HICBC isn't based on taxable income, it's adjusted net income which counts so pension contributions (and Gift Aid) could mean you are still able to keep some, or all, of the CB.

Also, you need to look at the tax year as a whole, not just what happened from November 2023.

sm3003

Hi - does anyone know how it works when the higher earner is on maternity leave? I earn slightly more than my husband normally so the value on my last P60 would make me the higher earner, however as I’m now on maternity leave by the end of the next tax year he’ll be the higher earner so we’re not sure who would be best to sign up? Or do we have to change it each time if the higher earner changes?

The_Governor

When the threshold was brought in 2013(?) we opted out as at the time I was earning over the £50k limit, unwittingly I didn't realise this would also remove my wife's NI contributions, is there a way we can claim those NI Credits back? I think she ahs about 6 years with of missing credits as a result

All the guides talk about the credits being claimed by the wrong person, but not related to if it wasn't claimed at all by either parent...

sheramber

sm3003 said:

Hi - does anyone know how it works when the higher earner is on maternity leave? I earn slightly more than my husband normally so the value on my last P60 would make me the higher earner, however as I’m now on maternity leave by the end of the next tax year he’ll be the higher earner so we’re not sure who would be best to sign up? Or do we have to change it each time if the higher earner changes?

As the charge is based on the higher income it needs to be the higher earner who submits a  return.