Unfair ‘Higher Income Child Benefit Tax Charge’

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  • #13653 Report


    Has anyone else fallen foul of the unreasonable and unfairly enforced loss of child benefit?


    I received a letter informing me I had earned more than the allowance which I believe is £50,000.00. I have because I received an out of the ordinary bonus which enabled me to purchase my own home.

    I am really frustrated that a 2 parent family can earn £99,999.00 combined income and still receive child benefit but earning more than £50,000.00 in 2016/17 means of the £1018.00 provided I have to pay back £800.00 out of my disposable income ( which is a joke in itself as I am the only person providing for my child physically and financially) Who has the right to decide that my child doesn’t deserve child benefit but a child in a 2 parent family can have the full amount! Is this not discrimination not only toward certain children who are born into circumstance and do not choose it and also yet more discrimination of single parents!!

    Is it worth discussing with my local MP..she is an incredible politician

    Rant over

    #13672 Report


    I’m sorry…I thought this was a support group who helped single parents irrespective of their situations, I don’t believe Gingerbread (having worked with them on certain projects) would be happy that this was not a supportive site but one of bitterness and discrimination.

    For your information…..it takes a lot of sacrifice both emotionally and financially to ensure I can be the best person I can be to show my child the importance of working hard to achieve your dreams! Not that it is any of your business but it was a one off bonus that put me over!

    The point of my email was….if I am not entitled to claim child benefit then that is fair enough…but don’t accuse parents of avoiding the charge when they know nothing about it. There are potential fines for non payment of something you knew nothing about

    Additionally….and the reason for putting the post on here is…..why can a 2 parent family earn £100,000.00 and still receive the £82 per week child benefit but as a single parent that is not the case, there should be a fixed threshold and it doesn’t matter how that threshold is achieved it should be fair on the children, it is yet again showing discrimination toward single parents and more importantly the children of single parents!

    #13673 Report


    Sarah jo I would not take any notice of the reply you received . Honestly people should go and get themselves educated. I work very very hard to give us a good life and I’m proud of my job , income and achievements too.. and of course my daughter!

    #13674 Report


    Thanks Sherima 😊


    #13693 Report


    Hi SarahJo,

    I agree, this is the British government at its best just another way to penalise single parents, this is definitely another example of bias towards couples.

    The goverment are apparently always trying to save money so this is absolutely ridiculous, this money is supposed to go towards raising a child so surely the amount of money I can raise my child with so can they but this creates an elitist situation whereby a couple’s child can live more comfortable courtesy of the British government, essentially saying their children is more valuable than mine.

    If a single person earns more than a couple that is what it is but it shouldn’t be government funded, threshold should be for the child and not a household.

    The topsy turvy world we live, huh.


    #13937 Report


    Exactly Solitaire16 a threshold is just that but it should be fair and not bias .

    I don’t understand it…but I guess that isn’t my job

    #13942 Report


    Sarah Jo I totally agree that this is fundamentally wrong.

    The govt clearly need a limit, the limit is irrelevant but what is important is that is fair and clearly this is not.

    I wonder if Gingerbread campaign against this? The govt rely on people thinking it has nothing to do with them or blindly accepting the law to get away with policies that are badly thought out.

    Definitely discuss with your MP!


    #13943 Report


    SarahJo I don’t know much about thresholds and child benefit but from your figures it does sound unfair, i think single parents threshold could be raised up a little as they have little one(s) to support.  You’re happy with your MP so definitely worth raising the issue?

    Anonymous if this forum had feedbacks like eBay, it could help others to know you’re an asset to the forum with the many advice/good support you’ve written to other forum users!


    #13945 Report


    I am liasing with my MP so I will keep you all in the loop.

    Also just for additional information it is based on your pre tax wages…so not only is my child peanalised for being from a single parent family but I am penalised in a threshold that I will then pay 40% tax on

    Thank for all the positive feedback and support, would be really interesting if this is something Gingerbread are or will taken on

    #34030 Report


    Hi I’m just falling foul to this the letter arrived this morning…. I’m glad I found this as I always felt I didn’t fit into the categories gingerbread supports.


    I’ve worked stupidly hard to get get to this level of salary and have a sane well balanced 8 year old who understands mummy has to work late etc etc… But been penalised for managing a big job and family on my own really is a kick in the teeth…


    One question? were you allowed to put the payment through your next year’s tax and have your tax code adjusted ….or through your normal paye? As that is my only income



    #34031 Report



    Firstly, I have every empathy with you….it’s a real shock when it drops through your letter box. They key thing to do is make sure you reply to the letter with your reasons why shouldn’t be fined on top of the repayment. Like me I would imagine with the age of your child you didn’t know about it as it was introduced in 2014!
    I payed mine back in full as it would have accrued interest and additional fines (if I remember rightly) and I think it can only be added to paye the following financial year

    You will need to set up a self assessment account too…which is a total nightmare. My advice would be as child benefit is paid a pro rata of how much you earn over the 50,000 threshold if you are going to earn it consistently to stop it….it isn’t worth the hassle or effort in my humble opinion for a % of £80+ per month.

    #34061 Report


    Hi all,

    one thing you can do is offset pension payments and childcare vouchers/allowance against your earnings.

    if you know you have a one off bonus coming, ask your employer to pay it into your pension. That way you’ll keep your child benefit. Then when you have a less well paid year, reduce your pension payments.

    #34139 Report


    Can I just echo the advice to pay more into your pension in order to avoid this charge. Even if your employer won’t do it, you can start your own private pension and add to it.

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