Am I liable to a tax charge?

If you have an individual income over £50,000 and either:

  • you or your partner receive child benefit
  • someone else gets child benefit for a child living with you and they contribute at least an equal amount towards the child’s upkeep

you may be liable to a tax charge.

It is changing after 6th April 2024!

The Higher-Income Child Benefit Charge (HICBC) is being reformed to a household-based system From April 2026.

In the Spring Budget 2024 it was announced that the threshold was raised from £50,000 to £60,000 and the taper was increased from £60,000 to £80,000.  This is effective from 6th April 2024.

What is my individual income?

You can calculate your individual income and your liability to additional tax using:

Child Benefit tax calculator

If I liable for a tax charge what do I do next?

You will need to complete a self assessment tax return:

  • Register for self assessment (by 5 October)
  • Complete the tax return (we can help here!)
  • Submit the tax return
  • Pay the tax (by 31 January)

Can I opt out of child benefit?

If you no longer want to receive the child benefit as you have an individual income over £50,000, you can do this online.