Child benefit can be claimed by people who are not the main carer – see http://www.hmrc.gov.uk/students/who_can_claim_cb_4_1.htm. Let us suppose the claimant would have to pay the Child Benefit Tax Charge and the grandparent’s income is below £50,000. My understanding is the grandparent could claim Child Benefit provided they pay the whole lot over for the upkeep of the child. The claimant wouldn’t have to be a grandparent – could be anyone provided they pay the whole of the money over. Would this work?