How long does it take for tax code to change after you've done self assessment for child benefit?

KaratePigeon

Hi, my income was around £55k last year according to my P60, so straight away in April I filled out a self assessment, knowing I will have to pay back about half of my child benefit (3 kids so its quite a bit). I had an email acknowledgement saying I should be able to see any changes to my account within 72 hours but nothing was showing, I would have thought I would have a new tax code by now? Or does it not update until next April? I'm just worried about owing money and want to budget for paying it back! 

Dazed_and_C0nfused

KaratePigeon said:

Hi, my income was around £55k last year according to my P60, so straight away in April I filled out a self assessment, knowing I will have to pay back about half of my child benefit (3 kids so its quite a bit). I had an email acknowledgement saying I should be able to see any changes to my account within 72 hours but nothing was showing, I would have thought I would have a new tax code by now? Or does it not update until next April? I'm just worried about owing money and want to budget for paying it back! 

I think you have got a little confused with your tax years.

Tax owed under Self Assessment for 2023-24 will not be included in your tax code for this year, it is your 2025-26 tax code that is changed for this liability.

Depending on how you have completed the return HMRC do sometimes update your code for the current tax year (2024-25) to start collecting extra tax towards any HICBC for the current tax year.

But as the lower HICBC threshold has increased to £60,000 this might not be relevant for you anyway.

KaratePigeon

Ok thanks, so I can expect my tax code to be changed on 6th Apr 25 (or maybe earlier), and then it'll just get taken out of my salary over the 12 months after? I know the threshold has increased but as I understand it I still need to pay it back for 2023-24 as I earned over the 50k threshold that was in place then. If my income stays below 60k I won't need to pay it back for any other years. 

Is that correct?