HM Revenue and Customs (HMRC) has issued an urgent alert aimed at hundreds of thousands of UK families. The tax authority is specifically targeting households with an income of less than £80,000, urging them to check their eligibility for Child Benefit payments immediately.
Who Qualifies for Child Benefit?
The call to action was made via a post on X, the platform formerly known as Twitter. HMRC's message was clear: "Think you earn too much to receive Child Benefit payments? Check again to make sure you're not missing out on money."
Eligibility for the payment is broader than many assume. You can claim Child Benefit if you are responsible for a child under the age of 16. This extends to children under 20 if they remain in approved full-time education or training.
There is no limit on the number of children you can claim for, but only one person can receive the benefit for each child. You normally qualify if you live in the UK and are considered responsible for the child. This responsibility is typically established if you live with the child or contribute at least the equivalent of the Child Benefit amount towards their upkeep.
Understanding the Payments and the Tax Charge
The current Child Benefit rates provide significant financial support. For the eldest or only child, the payment is £26.05 per week, which totals £1,354.60 annually. For each additional child, the rate is £17.25 per week, or £897 per year.
However, a crucial detail for many families is the High Income Child Benefit Charge (HICBC). This charge applies if either the claimant or their partner has an individual income between £60,000 and £80,000. The charge is levied on the higher earner and gradually reduces the benefit's value. Once an individual income reaches £80,000, the charge effectively reclaims the entire benefit amount through the tax system.
Take Action: Use the Official Calculator
For families navigating this income bracket, HMRC provides a vital online tool. The official Child Benefit tax calculator allows parents to get an instant estimate of how much benefit they could receive and what the associated High Income Child Benefit Charge might be.
HMRC's urgent warning underscores that many families on moderate to high incomes may have incorrectly assumed they were not entitled to claim. By not registering, they miss out on valuable financial support and also ensure the parent receiving the benefit gets National Insurance credits which count towards their State Pension.
The key takeaway is simple: if your household income is below £80,000, do not automatically rule yourself out. A quick check via HMRC's official channels could confirm you are entitled to hundreds of pounds in support each year.
