Child benefit question - separated and high earner

Yimkin

Hi all,

Almost certainly a dumb question, but I can’t find a definitive answer anywhere.

My partner and I separated just before my daughter’s first birthday. She is now 8. In the intervening period (about 2 years later) I moved into the 40% tax bracket, and now earn £67k per annum.

My ex and I reached a mutual arrangement on child support, whereby I pay what the government self assessment website suggests, plus an extra £100 per month.

My ex is a low earner, and receives child benefit. I now live with my fianc!, who has a 21 year old daughter (so obviously no child benefit). As we are separated, do the rules concerning one parent earning more than £50k apply? I assume not, but just wanted to double check.

Many thanks

jefaz07

Yimkin wrote: »

Hi all,

Almost certainly a dumb question, but I can’t find a definitive answer anywhere.

My partner and I separated just before my daughter’s first birthday. She is now 8. In the intervening period (about 2 years later) I moved into the 40% tax bracket, and now earn £67k per annum.

My ex and I reached a mutual arrangement on child support, whereby I pay what the government self assessment website suggests, plus an extra £100 per month.

My ex is a low earner, and receives child benefit. I now live with my fianc!, who has a 21 year old daughter (so obviously no child benefit). As we are separated, do the rules concerning one parent earning more than £50k apply? I assume not, but just wanted to double check.

Many thanks

No they do not. I earn over 50k and partner still claims.
Only if you live together.

Yimkin

Thanks for that, put my mind at rest!

duchy

It’s based on whom the children live with.
If a resident parent’s live in partner earned above the limit they couldn’t claim but what a non resident parent earns doesn’t impact at all.
What is paid in child support is irrelevant too.
If your ex isn’t claiming because she believes your earnings preclude her doing so, she is wrong.

calcotti

duchy wrote: »

If your ex isn’t claiming because she believes your earnings preclude her doing so, she is wrong.

Opening post says ex is claiming.

carlsagen

Hello, sorry to hijack this thread but saves posting another duplicate. Im in exactly the same position and my accountant is asking if my ex (who moved out over a year ago) is still claiming child benefit as id have to pay it back as normal...

To quote him "If she is you will have to repay that amount as tax again, this is where it can get quite bad."

Ive checked with her and she says she re-applied from her new address (where she lives alone) and said she was separated. Ive never lived at that house. We have shared custody of our children 50/50.

Thanks.

calcotti

carlsagen wrote: »

Hello, sorry to hijack this thread but saves posting another duplicate. Im in exactly the same position and my accountant is asking if my ex (who moved out over a year ago) is still claiming child benefit as id have to pay it back as normal...

To quote him "If she is you will have to repay that amount as tax again, this is where it can get quite bad."

Ive checked with her and she says she re-applied from her new address (where she lives alone) and said she was separated. Ive never lived at that house. We have shared custody of our children 50/50.

Thanks.

Your post doesn't include a question. If you are asking whether you are liable to the Higher Income charge then I think your question ahs already been answered in this thread. If you have separated and are not living with the Child Benefit claimant you are not liable.

Dazed_and_confused

But the poster said

my ex (who moved out over a year ago)

Obviously "over a year ago" is a little vague but could well be in the 2018:19 tax year. And the posters accountant may be in the process of completing their 2018:19 Self Assessment return.

So the fact that they are separated now doesn't mean there couldn't be a High Income Child Benefit Charge payable for 2018:19.

Depends on the posters adjusted net income and if Child Benefit was being paid before she moved out. And when exactly she moved out.

carlsagen

Thanks. It was just to clarify that its not applicable if you dont live together. Thanks for that.

calcotti

Dazed_and_confused wrote: »

Obviously "over a year ago" is a little vague but could well be in the 2018:19 tax year. And the posters accountant may be in the process of completing their 2018:19 Self Assessment return.

So the fact that they are separated now doesn't mean there couldn't be a High Income Child Benefit Charge payable for 2018:19.

Excellent point - I didn't think of that.

Dazed_and_confused

It's covered here, looks like Child Benefit to the point of separation is taken into account.

https://www.gov.uk/child-benefit-tax-charge/your-circumstances-change