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Child Benefit claimants warned of new tax probe that can lead to huge fines

Those whose income means they won actually end up receiving any Child Benefit because it is all taken away in tax are still encouraged to put in a claim as it means they get National Insurance (ni) Credits associated with a State Pension. Registering for Child Benefit also means the child is allocated a National Insurance number effortlessly at age 16.

this means even if your household income makes you ineligible for Child Benefit, You can still sign up and choose not to receive the payments. You then don need to face the hassle of filling in self assessment forms and paying all the benefit back as a tax charge this is known as opting out.

Since it has been available since January 2013, The huge salary Child Benefit tax has raised 2.95 billion dollars for HMRC.

It has saved the government an estimated 4.9 billion furthermore from families opting out. At another count, 624,000 families had opted out of acquiring it and 373,000 paid up it.

Get all the actual benefits, Money and politics news delivered directly to your inbox with our free daily newsletters.

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