High Income Child Benefit Charge
Comments
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You know something, this is the first time I've heard about the CB changes after reading this thread. Like many have said, I don't remember any media awareness of this, I also didn't receive any reminder letters from HMRC advising me of this.
I've never filed a self assessment form in my life.
The whole system is screwed up :mad:
How much would My tax liability be based on my earning below with two children?
April 2015-April 2016 I earned £48k.
April 2016- April 2017 I earned £62,695.00
May 2017 to presant still receving child benefit.
Not sure if I should wait for them to contact me or just cancel the payments.
Can they adjust my tax code so they can collect the tax owed directly through PAYE?Save Save Save:o
SPC 593 paye:o0 -
You need to contact HMRC to tell them you are the higher earner, with an income over £50k, and in a household that receives ChB.You know something, this is the first time I've heard about the CB changes after reading this thread. Like many have said, I don't remember any media awareness of this, I also didn't receive any reminder letters from HMRC advising me of this.
I've never filed a self assessment form in my life.
The whole system is screwed up :mad:
How much would My tax liability be based on my earning below with two children?
April 2015-April 2016 I earned £48k.
April 2016- April 2017 I earned £62,695.00
May 2017 to presant still receving child benefit.
Not sure if I should wait for them to contact me or just cancel the payments.
Can they adjust my tax code so they can collect the tax owed directly through PAYE?
It is your responsibility to do this and you are already late doing so (within 6 months of the end of the tax year). If you wait for HMRC to contact you about it you risk facing a fine of upto 100% of the tax due from your calculation (failure to notify).
For 15/16 there is no Higher Income Child Benefit Charge.
16/17, if you have nothing available to reduce your applicable income then the HICBC will be the equivalent of 100% of the child benefit received.
You will HAVE TO do a tax return for that year.
So long as your tax return is submitted online before 30/12/17 and the tax due is less than £3000 then you may be able to have it collected through your tax code from 6/4/18.
Quickest way to resolve this is to go to Gov. Uk and search for Register and File Self Assessment., then select the link to register for self assessment. Register, then read the information regarding how to file the tax return online.
You can if you wish continue to receive child benefit, you would have to pay the charge each year however should your income stay the same. If you'd prefer to cancel then it has to be done by the ChB claimant.
HMRC are under no obligation to 'inform' you of the rules regarding child benefit. The Gov. Uk website contains all the info necessary.
The responsibility to ensure that you are paying the correct tax rests with each individual.
I'll say again, people need to start understanding the basics of tax as changes to the way tax is administered are coming and almost all will involve putting each person in control of their own taxes.
Each person will soon be expected to manage their own tax affairs online (whether you are employed or self employed), just as you manage your banking online, you'll be expected to 'self serve' by setting up your online Personal Tax Account. In the near future it's likely HMRC staff will not be able to update your records over the phone where the option to make the changes online exists.[SIZE=-1]To equate judgement and wisdom with occupation is at best . . . insulting.
[/SIZE]0 -
Please note that you can still get the NI credit if a child is under 12, therefore if you go the cancellation route make sure you only cancel the payment, not the whole claim.
It must provoke some interesting conversations in some households when the claimant refuses to cancel the claim! I also wonder how many claims don't get cancelled because the partner has absolutely no idea their partner earns over £50k.0 -
LOL, I personally know of one case where the wife told the husband she will continue to collect the payment thank you very much, but the husband can repay it from "his" income. The husband took the view that it was "safer" to acquiesce...Please note that you can still get the NI credit if a child is under 12, therefore if you go the cancellation route make sure you only cancel the payment, not the whole claim.
It must provoke some interesting conversations in some households when the claimant refuses to cancel the claim! I also wonder how many claims don't get cancelled because the partner has absolutely no idea their partner earns over £50k.0 -
You need to contact HMRC to tell them you are the higher earner, with an income over £50k, and in a household that receives ChB.
It is your responsibility to do this and you are already late doing so (within 6 months of the end of the tax year). If you wait for HMRC to contact you about it you risk facing a fine of upto 100% of the tax due from your calculation (failure to notify).
For 15/16 there is no Higher Income Child Benefit Charge.
16/17, if you have nothing available to reduce your applicable income then the HICBC will be the equivalent of 100% of the child benefit received.
You will HAVE TO do a tax return for that year.
So long as your tax return is submitted online before 30/12/17 and the tax due is less than £3000 then you may be able to have it collected through your tax code from 6/4/18.
Quickest way to resolve this is to go to Gov. Uk and search for Register and File Self Assessment., then select the link to register for self assessment. Register, then read the information regarding how to file the tax return online.
You can if you wish continue to receive child benefit, you would have to pay the charge each year however should your income stay the same. If you'd prefer to cancel then it has to be done by the ChB claimant.
HMRC are under no obligation to 'inform' you of the rules regarding child benefit. The Gov. Uk website contains all the info necessary.
The responsibility to ensure that you are paying the correct tax rests with each individual.
I'll say again, people need to start understanding the basics of tax as changes to the way tax is administered are coming and almost all will involve putting each person in control of their own taxes.
Each person will soon be expected to manage their own tax affairs online (whether you are employed or self employed), just as you manage your banking online, you'll be expected to 'self serve' by setting up your online Personal Tax Account. In the near future it's likely HMRC staff will not be able to update your records over the phone where the option to make the changes online exists.
Hi,
Thank for your post much appreciated. I will get the ball rolling in sorting this out tomorrow.
:beer:Save Save Save:o
SPC 593 paye:o0 -
Please note that you can still get the NI credit if a child is under 12, therefore if you go the cancellation route make sure you only cancel the payment, not the whole claim.
It must provoke some interesting conversations in some households when the claimant refuses to cancel the claim! I also wonder how many claims don't get cancelled because the partner has absolutely no idea their partner earns over £50k.
Funny you mentioned this, I asked my sister about this and she was convienced that she and her partner didn't receive CB for their two kids. But after speaking with her partner it appears they also been receiving the benefit. They didn;t know about the tax changes either.
My sister partner been earning over £50k before 2013.Save Save Save:o
SPC 593 paye:o0 -
Funny you mentioned this, I asked my sister about this and she was convienced that she and her partner didn't receive CB for their two kids. But after speaking with her partner it appears they also been receiving the benefit. They didn;t know about the tax changes either.
My sister partner been earning over £50k before 2013.
I think lot of people are in this boat.
Rather generic here, but in a lot of instances it is the 'wife' who receive the benefit and the 'husband' who has the income above the 50/60k.
The craziest thing about it all is that neither HMRC or the benefit office, due to data protection, can actually tell the 'husband whether the 'wife' is receiving the benefit or not, only that she is entitled to receive it.
So you have to complete your tax return on the basis of someone's say so, the same someone who even if you are married you have no legal right to know about their finances!0 -
Same thing here. HMRC are an absolute disgrace. All you get is legalise, mambo jumbo, subversion and threats in letters. It's impossible to get through to them on the phone line. They have flat out refused to acknowledge my queries and concern or any culpability for confusing, convoluted lop-sided system. I for one refuse to be bullied. They're not getting a penny out of me until they ackowledge and address the issues. And for those saying your responsibility etc etc, you are nothing but brainwashed indoctrinated idiots, the wet dream of the elite who actively avoid tax because your spineless and fearful parts who'll pick up the bill for them. Grow a set0
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I'd love to hear of anyone who has actually been able to get information as to whether (or not) their partner is receiving the benefit. I don't believe they can.0
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I'd love to hear of anyone who has actually been able to get information as to whether (or not) their partner is receiving the benefit. I don't believe they can.
https://www.gov.uk/child-benefit-tax-charge/pay-the-charge
If you can’t get information from your partner or ex-partner
You can write to HM Revenue and Customs (HMRC) to ask whether your partner or ex-partner gets Child Benefit or has a higher adjusted net income than you. HMRC will reply ‘yes’ or ‘no’ - they won’t give you any financial information.
You can only ask for this information if you and your partner either live together, or separated within the tax year you want information for.0
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