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Child benefit tax, please help confused

3 replies

User1145 · 15/08/2023 14:32

Hi there,

My partner earns abover 50k so we will have to pay the child benefit tax. However this is where we are a little bit confused, we work in education and pension is taken before tax, then a taxable pay is calculated.

When trying to work out his taxable income for the child benefit tax, do we exclude the pension amount? So for example if monthly he earns 4,700 and 4,200 after pension has been taken out, do we calculate the taxable income using the after pension amount? Hope that makes sense!

OP posts:
BarnacleBeasley · 15/08/2023 14:44

Yes, you use the taxable income after pension. If those are the real figures, he will hardly have to pay any tax on the child benefit, but it might be less hassle for him to just make a small additional voluntary contribution to his pension so he can bring his taxable income under £50k and doesn't have to go to the effort of doing a tax return.

BarnacleBeasley · 15/08/2023 14:45

(obviously that only works for next year's tax return - I realise that ship has already sailed if you're currently doing the 2023 one!).

User1145 · 16/08/2023 00:38

Hmm smart thinking! Thank you for your help!

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