January 2013 a new income tax charge

Preserving Your Entitlement to Child Benefit

Preserving Your Entitlement to Child Benefit

From 7 January 2013 a new income tax charge will apply to individuals who receive Child Benefit, or whose partners receive Child Benefit, where income is more than £50,000 for the tax year. Where both partners have adjusted net income in excess of £50,000 the charge will apply to the partner with the higher income. The income tax charge will apply at a rate of 1% of the full Child Benefit award for each £100 of income between £50,000 and £60,000. The charge on taxpayers with income above £60,000 will be equal to the amount of Child Benefit paid. Child Benefit claimants will be able to decide not to receive Child Benefit if they or their partner do not wish to pay the new charge. This charge will have effect from 7 January 2013 and for 2012/13 will apply to the Child Benefit paid from that ... »