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Posted Mon, 24 Jul 2023 15:52:50 GMT by
Hi, I am employed by a company and in the process of completing a child benefit tax calculator due to my salary increasing (we have 2 children and claim child benefit). I am being asked to enter my allowable deductions and need confirmation what they are? Would this be my ‘car allowance’ which is a payment provided to me monthly or my ‘salary sacrifice pension’ monthly deduction on my payslip? My only other deductions are standard PAYE tax and national insurance. Many thanks
Posted Mon, 24 Jul 2023 16:59:38 GMT by
@Colin1970 It doesn't sound Ike you can deduct any of those things as an allowable deduction Car Allowance is taxable income so would be increasing your income not reducing it Salary sacrifice pension contributions are employer contributions so aren't deductable. You would of course be starting with your reduced salary so they have in effect already been "deducted" PAYE tax and National Insurance aren't deductions for High Income Child Benefit Charge purposes.
Posted Wed, 26 Jul 2023 16:30:14 GMT by
@sportyfae Thanks for replying to my question.
Posted Mon, 31 Jul 2023 14:30:18 GMT by HMRC Admin 32
Hi,

Please see below.

How to work out your adjusted net income

Thank you.

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