Self Assessment Help With Miscalculation

se_yp

Hi All,

Need some help completing a self assessment for a family member. Here goes:

- In 2023/2024, total income was approx £60,000 (consisting of 3 different employers). During the transition from 1 employer to another, there was a misunderstanding with tax code and 1 payslip was paid without being taxed (tax due was £501). HMRC have since fixed this by adjusting their tax code for 2024/2025 to reclaim that £501 this tax year.

- In April 2024 they claimed child benefit and wanted it to start from April 6th onwards (as they wouldn't be eligible for it earlier as the income limit was £50,000)

- HMRC since started paying child benefit but INCORRECTLY back dated it a few months meaning HMRC paid child benefit for Jan/Feb/Mar 2024 when they shouldn't have

- A total of £399 in child benefit was paid out by mistake and they need to return this back to HMRC by completing a self assessment form

- After completing a self assessment form online using the earnings values in the GOV Gateway PAYE portal, their calculation shows that £900 of tax is due. This consists of £399 in child benefit and £501 in underpaid tax. 

Issue here is the £501 of tax is already being paid via a adjusted tax code for year 2024/2025. Does anyone know where in the 2023/2024 self assessment forum we can specify that the £501 is being paid back and that only £399 is to be returned back to HMRC?

Thank you

sheramber

The backdated payment for three months should be treated as a payment for 24/25  .  

https://www.gov.uk/government/publications/income-tax-increasing-the-high-income-child-benefit-charge-threshold/the-high-income-child-benefit-charge-threshold

New claims to Child Benefit are automatically backdated by three months, or to the child’s date of birth (whichever is later). For Child Benefit claims made after 6 April 2024, backdated payments will be treated for HICBC purposes as if the entitlement fell in the 2024 to 2025 tax year if the backdating would otherwise create a HICBC liability in the 2023 to 2024 tax year.
Also explained on page 12 of the  tax return notes.

se_yp

Thank you very much!