High Income Child Benefit Charges
If you or your partner receives Child Benefit and either partner earns more than £50,000 you could be subject to a High Income Child Benefit Charge. It does not matter if your partner receives Child benefit and you are the high earner, if you are both responsible for your child(ren) the High Income Child Benefit Charge will apply.
What should I do?
The most common reaction is to cancel your claim to Child Benefit income, however this may not be advisable, particularly if you earn between £50,000 and £60,000, as you may still be due an element of your Child Benefit. If you are on the borderline of earning £50,000, there may be planning opportunities available to ensure you continue to receive your full entitlement.
Want to know more?
To find out your full entitlement, visit the revenue benefits website which explains the child benefits rates. To speak to us about whether you are likely to be affected and how we may be able to help, please do not hesitate to contact us on 01202 880384.