High Interest Child Benefit charge

Deenport

Over last 10 years, husbands salary has fluctuated between £48k and £60k, therefore we have submitted a self assessment each year and paid back either part or all of the Child Benefit. It’s a drag, and I always worry that I’ll make a mistake but so far, so good. 

Last year I stopped claiming before April and glad I did as my husband’s salary up to April this year was over £60k, so we have nothing to pay back. 

My question is, do we still need to complete a Self Assessment in October? 

Secondly, as the threshold has now increased to £60k, depending on what his salary is by April 2025, can we submit a back claim for 24-25 child benefit, 

Dazed_and_C0nfused

Deenport said:

Over last 10 years, husbands salary has fluctuated between £48k and £60k, therefore we have submitted a self assessment each year and paid back either part or all of the Child Benefit. It’s a drag, and I always worry that I’ll make a mistake but so far, so good. 

Last year I stopped claiming before April and glad I did as my husband’s salary up to April this year was over £60k, so we have nothing to pay back. 

My question is, do we still need to complete a Self Assessment in October? 

Secondly, as the threshold has now increased to £60k, depending on what his salary is by April 2025, can we submit a back claim for 24-25 child benefit, 

If a return has been issued for 2023-24 then yes, it should be completed.  Alternatively if he no longer met the criteria for Self Assessment he can ask for it to be withdrawn.

But whichever he does it should be done by 31 January 2025.  Don't wait until penalties start being applied.

I think there are limits to how long you can back date Child Benefit so probably worth considering putting into payment sooner rather than later .  Especially as the taper range has gone from £10k (£50-£60k) to £20k (£60k-£80k).

Deenport

Dazed_and_C0nfused said:

Deenport said:

Over last 10 years, husbands salary has fluctuated between £48k and £60k, therefore we have submitted a self assessment each year and paid back either part or all of the Child Benefit. It’s a drag, and I always worry that I’ll make a mistake but so far, so good. 

Last year I stopped claiming before April and glad I did as my husband’s salary up to April this year was over £60k, so we have nothing to pay back. 

My question is, do we still need to complete a Self Assessment in October? 

Secondly, as the threshold has now increased to £60k, depending on what his salary is by April 2025, can we submit a back claim for 24-25 child benefit, 

If a return has been issued for 2023-24 then yes, it should be completed.  Alternatively if he no longer met the criteria for Self Assessment he can ask for it to be withdrawn.

But whichever he does it should be done by 31 January 2025.  Don't wait until penalties start being applied.

I think there are limits to how long you can back date Child Benefit so probably worth considering putting into payment sooner rather than later .  Especially as the taper range has gone from £10k (£50-£60k) to £20k (£60k-£80k).

Hi. Thank you for your reply. 

We have not received any forms to complete, I’m assuming this is what you meant by “return being issued “ ?

Dazed_and_C0nfused

Deenport said:

Dazed_and_C0nfused said:

Deenport said:

Over last 10 years, husbands salary has fluctuated between £48k and £60k, therefore we have submitted a self assessment each year and paid back either part or all of the Child Benefit. It’s a drag, and I always worry that I’ll make a mistake but so far, so good. 

Last year I stopped claiming before April and glad I did as my husband’s salary up to April this year was over £60k, so we have nothing to pay back. 

My question is, do we still need to complete a Self Assessment in October? 

Secondly, as the threshold has now increased to £60k, depending on what his salary is by April 2025, can we submit a back claim for 24-25 child benefit, 

If a return has been issued for 2023-24 then yes, it should be completed.  Alternatively if he no longer met the criteria for Self Assessment he can ask for it to be withdrawn.

But whichever he does it should be done by 31 January 2025.  Don't wait until penalties start being applied.

I think there are limits to how long you can back date Child Benefit so probably worth considering putting into payment sooner rather than later .  Especially as the taper range has gone from £10k (£50-£60k) to £20k (£60k-£80k).

Hi. Thank you for your reply. 

We have not received any forms to complete, I’m assuming this is what you meant by “return being issued “ ?

Yes, in April he would have received either a tax return or more likely a notice advising a return needed to be filed (for 2023-24).

But if you didn't receive any Child Benefit in 2023-24 and that was the only reason for a tax return then he might not have been sent onto.

He should check his tax account on gov.uk just to make sure one hasn't been issued.

5-10 minutes checking that now is better than trying to sort things out if a penalty gets issued after 31 January next year!