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Posted Thu, 08 Feb 2024 10:05:46 GMT by
I have just been notified that I will recieve a salary increase, which will push me into the higher rate of tax, I also recieve childe benefit for my 2 children. If I increase my salary sacrafice pension contributions to reduce my net income to below the threashold, do I still need to complete a self assessment tax return even though I shouldnt trigger the tax return for child benefit.
Posted Tue, 13 Feb 2024 13:59:36 GMT by HMRC Admin 32 Response
Hi,

If the pension contributions are deducted from your wage before tax is calculated and this takes your income below the £50,000 threshold for the higher income child benefit charge, HICBC, then you would not need to complete a tax return for HICBC.

You can check if you meet Self Assessment criteria at:

Check if you need to send a Self Assessment tax return 

Thank you.

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