Higher income child benefit charge

Not declared

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Child benefit not being declared on self assessment return since 12/13. Earnings over £60K for all years. Able to amend 2016/17 today. What is procedure for disclosing benefit 2015/16 back to 2012/13. Have always being under self assessment.

Secondly will HMRC issue penalties - In light of recent tax cases, as tax has not being underpaid i.e. HICBC is a charge or repayment of benefit, can HMRC charge penalties if not included on tax return for those years as there has been no loss of 'tax'?

 

 

Replies (8)

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RLI
By lionofludesch
31st Jan 2019 15:12

Out of date years will be dealt with informally, by letter.

HMRC announced a relaxation of penalties in certain cases and I would be advocating that this is one of those certain cases, particularly as they've not said very clearly what those certain cases might be.

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By MDK45
31st Jan 2019 16:07

I had this going back years for a client last year. He wasn't in self assessment at the time but those backdated returns were issued which we filled in and HMRC issued a repayment plan with no penalties.

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By Mr_awol
31st Jan 2019 17:15

You should be able to get this penalty free.

On a side note, isn't it about time they renamed it the 'Moderate Income Child Benefit Clawback' or something more appropriate? I appreciate that it's not like having an 'expensive' car at £12k, or a 'higher paid employee' on £8,500, but £50 isn't really all that much these days, surely.

At the very least they should push the threshold up to £75k or so

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Replying to Mr_awol:
RLI
By lionofludesch
31st Jan 2019 17:23

Mr_awol wrote:
....... £50 isn't really all that much these days, surely.

You're right there.

Way below the tax and NI thresholds.

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Replying to lionofludesch:
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By Mr_awol
31st Jan 2019 17:41

lionofludesch wrote:

Mr_awol wrote: ....... £50 isn't really all that much these days, surely.

You're right there.

Way below the tax and NI thresholds.

Trivial Income Child Benefit Charge? ;)

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By Vaughan Blake1
04th Feb 2019 15:42

I wonder how many of these cases go undetected each year? This sort of 'retro income level assessed tax collection' has to be amongst the least efficient.

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Replying to Vaughan Blake1:
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By MDK45
04th Feb 2019 16:14

Tons! Someone told me nobody does an exercise to check higher rate pension relief claimed on SA versus relief claimed by pension fund companies! Surely, that would be easy enough?

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RLI
By lionofludesch
04th Feb 2019 16:04

I hate clawbacks.

Carp way to tax folk.

They create weird marginal rate islands.

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