Child Benefit?

[ihearttc]

Bit of a long shot but could anyone give me advice on a rather specific Child Benefit issue?

I have 2 DS's (one is 14 and one is 8). We stopped claiming CB when they bought the new thresholds in during 2013 as DH was a higher rate tax payer and haven't claimed it since. DH last his job in the summer and we've been surviving on savings since then but he finally got a new job late last year and started in January. Only issue is the job is abroad in a country where he doesn't pay tax. He's actually now a resident in that country (he had to be in order to take the job) so as far as HMRC are concerned he has no income at all in the UK. He has filled in the form from the tax office and declared himself non-resident and he can apparently be in the UK for up to 90 days each tax year which is fine.

I work part time but earn below the tax threshold so I pay no tax and obviously nor does DH. Someone has suggested to me that I now start claiming CB again as it will help my pension contributions and Im technically entitled to it as my actual household income is only my wages and DH's wages aren't taken into account? Not entirely how I feel about this as morally if he was earning it in the UK we wouldn't be entitled to it but Im also concerned about my pension contributions later on and if it would help to take the money then Id seriously have to think about doing it?

My question is would I need to fill out tax return for myself in order to claim the CB and to prove it's only my income?

I don't know about the legalities of the income situation.

But you can and (if not in work or claiming another qualifying benefit) should claim for the pension credit

Phone the CB helpline and ask them.

Claiming or not won't effect your NI credits. However I'd say claim it. Given how unfair the thresholds for it are, two families on the same money one gets it one doesn't, I'd have no qualms about it.

@EdtheBear

It does. For every year you claim child benefit and aren't in work, you're still credited with that year for your pension. You need like, 30ish years if contributions to get the state pension but since lots of people stop work to raise kids, any year with child benefit by your name is classed as a contribution year so you don't have to get 30 years of work in once your kids have left home so you can get your pension.

You get NI credits while claiming it but only until your youngest child is 12. Yes I would claim it. You don't need to do a tax return unless you earn over £50k while claiming

As long as you registered your younger child for it your ni is protected whether you receive the payments or not, until he/she turns 13. Your dh needs to establish if there is a comparable scheme in his country of residence or if you are still eligible to do so in UK. Where is he paying income tax if not in country of residence?

As other people have said, as long as you have a child under 13 and you register them you get it.
When my youngest was born the CB form had a box to tick if you didn't want to claim the cash. But they recommend returning the form for your NI credits and it registers them to get their NI number at 16.

Thanks everyone that’s really helpful.
Edthebear-that was my initial reaction. The whole thing is so unfair in that 2 people earning under can claim but 1 person earning over can’t. But it still doesn’t feel quite right to claim it.

DH is working in the Middle East where they pay no income tax. He is still a British Citizen but has residency over there (as do most people that go to work over there) so is a non uk resident for tax purposes.

And I realise that probably sounds like we are rolling in it cause he works over there but we are really not. He is having to rent an apartment etc over there and obviously live himself and at the same time we have a house here and bills we need to pay. This job was not through choice for the lifestyle but necessity as he had to get a job (in his very niche area of work) so we are much less well off than it might appear on paper.

If I can do it without me having to fill in tax returns etc then I might look into it. I will call the CB office but I like to be prepared before I do so thought I’d ask here first.

He doesn't need to fill in tax return does he?
Will he be out the country for a full tax year? Which would sort you for 2019/20
As he was unemployed/ working overseas you may well be able to claim for 2018/19.

It's the most unfair tax imaginable. Sorry but it really riles me that you are taxed individuality, most other benefits are done as household income except this one.

Being taxed individually was a hard won issue.

It was just sheer Cameraon incompetence which made the mess of making a benefit (previously universal) linked to individual tax status. Especially as it was out-of-the-blue and non-manifesto. It was the start of omnishambles.

Agree this is an appalling syste. It would have been simpler (and probably cheaper) to keep the old one, and freeze or even reduce the cash element and put the money saved into the benefits CTC and WTC (which just to be confusing are called 'tax credits' even though they're nothing to do with tax)

Yes he will be out for the entire tax year...it’s a 2 year minimum contract.

Where do his wages go? UK or account in the other country,?

You can claim child benefit to get the NI credits but opt out of actually receiving the payments if you want - that gets you the state pension protection but means no tax returns have to be done and would solve the issue of feeling you’re not morally entitled to the money.

I wouldn't worry about the morals of claiming.
We also can't claim it due to husbands earnings. However a couple with both parents earning just under the threshold can still claim despite the household income being almost double ours. Absolutely ridiculous.

demented pixie-his wages get paid into an account in his country of residence but then he obviously transfers some of the money over here to me to pay the mortgage etc.