Month to go for taxpayers to decide on Child Benefit Charge
7th December 2012 | NewsTaxpayers earning more than £50,000 and receiving child benefits are running out of time to opt out of the scheme or face paying a charge.
From January 7th, HM Revenue and Customs (HMRC) is introducing a High Income Child Benefit Charge for if a taxpayer's - or their partner's - income is more than £50,000 in a tax year.
The charge is 100 per cent for those earning more than £60,000, with a gradual increase to 100 per cent for those earning between £50,000 and £60,000.
Lin Homer, HMRC's Chief Executive, said that people can choose to opt out of Child Benefit if they prefer.
"Over 680,000 people have already looked at information on HMRC's website that explains the changes and what steps those affected can take. It is really easy to use and will help families come to a decision," she explained.
TaxAssist's guide on the High Income Child Benefit Charge and how it will affect taxpayers can be found here.
Posted by Emily Smith