(Disclaimer- I’m actually not a parent but grew up in a low income family where this would have made a world of difference)
It’s discrimination at its most socially blatant. HMRC may as well be dipping their hands straight into the pockets of family units and taking hundreds of pounds every month.
**Imagine: Two identical families have an annual income of £24,000
Family A- Has one person working full time whilst the other other provides childcare to 3 small children.
Family B - Both parents work part time earning £12,000 each whilst tag teaming childcare.
At the end of the month A take home £1600 whilst B get £1900. For the EXACT same hours and EXACT same salary!
How much difference would £300 per month make to a struggling family? What does it matter to HMRC whether one person earns or both? If you’re cohabiting/ married and share children you’re functioning as a family unit which shouldn’t be discouraged or disregarded by the government.
Why are HMRC happy enough to count ‘household’ income if it means they can refuse a benefit claim but refuse to offset that by offering a tax break?
**Imagine: Two identical families have an annual income of £90,000
Same set up as above.
A bring home £5000 per month whilst B bring home £5600 per month. To add insult to injury family B also get child benefit 😂🙈 - I bet they need it, surely it’s hard to survive in £5600 a month!
My point is that regardless of your income level, family units who split work unevenly (for whatever multitude of reasons families face) are being pick pocketed by the government.
(Disclaimer - I’m not suggesting that ‘household taxation’ should be forced upon everyone, just those functioning financially as a family unit)