If your circumstances change

Your income changes

You will not have to pay the tax charge if your or your partner’s individual ‘adjusted net income’ for the whole of a tax year is less than £60,000.

Use the Child Benefit tax calculator to get an estimate of your adjusted net income changes and see if they may affect the tax charge.

You can choose to opt out or restart your Child Benefit payments at any time.

If your adjusted net income goes below the £60,000 threshold and you no longer need to complete a Self Assessment tax return, you must tell HMRC.

You have a new child

Claiming Child Benefit helps you qualify for:

  • National Insurance credits, which protect your right to the State Pension
  • other benefits like Guardian’s Allowance

Child Benefit proves you (or your partner) support another child. You may pay less child maintenance for children not living with you.

You can make a new claim or just protect your entitlement to the above by:

A partner moves in or out

Your situation may change if your adjusted net income is more than £60,000 and you move in or split up with someone who’s getting Child Benefit.

You’ll have to pay the tax charge if your adjusted net income is more than £60,000 and higher than your new partner’s adjusted net income. Your partner pays it if their adjusted net income is higher.

The tax charge applies from the date you move in together to either the date you permanently separate or the Child Benefit payments stop - for example because the child is too old to qualify for Child Benefit.

Short periods apart do not count as separation, for example a hospital stay or working away from home.