Backdated Child Benefit when income drops?
If a client elects to stop receiving Child Benefit but then his income drops can he get it backdated?
I've found a wealth of conflicting advice online and elsewhere!
The Child Benefit Helpline told me that there is no legal entitlement for it to be backdated.
I found articles online stating that it could be backdated to when it stopped, it could not be backdated, and it could be backdated three months.
Eventually, I believe the legislation is that: “If you or your partner's income drops to below £60,000 for a full tax year, you can apply to restart your Child Benefit payments for up to two years after the end of that tax year and the election will be revoked.”
Now I'm still a little confused. Does that mean that the the election is revoked and you just get it backdated two years from the end of the tax year in which the income dropped? Or will you get it completely backdated?
If your income is say £55,000 will you get the full amount backdated, then have to do a revised SA return, pay some back (with interest + surcharges) or will they deduct a clawback before paying it?
Are there any experts out there who have a definative answer to this?
- Ex Client from over 3 years ago 264 4
- Director's tax return 346 8
- Comapny valuation qualifications 91 1
- Sale of assets - availability of AIA to the purchaser 159 3
- Small employers paying people when sick thanks alot! 3,090 34
- Flat rate vat 184 2
- RTI Annual Scheme Query 177 5
- Director's current account - fuel costs and expenses 77 1
- Coming in from the cold 341 3
- Splitting the tax year 164 2
- P11d & Medical Ins 201 2
- Should design costs be capitalised? 170 4
- Submitting tax return 169 1
- Keep receiving RTI late submission notice 264 8
- Reporting no P11d due when PAYE scheme closed by HMRC 5Apr2013 137 1
- Sage Payroll 318 11
- Payroo Employer allowance query 212 6
- vat return 269 3
- Value pricing 740 26
- PAYE coding notice - deliberate misstatement 257 4
- Residential Property Purchase Above £750K 805
- Using Sage with Sofa Categories 557
- Does anyone have an unwanted ICAEW wooden plaque? 426
- Goods shipped inter EU and VAT Reporting 306
- Free Tax Legislation? 275
- Director Loan account operation 257
- transferring simply accounting 2010 from xp to windows 7 253
- Non-Resident Director - UK Tax Position? 248
- Sage 200 and Access Dimensions reviews 232
- Paye procedures for CVA 170