In May I wrote about the oncoming clusterfuck aka Osborne's child benefit changes, one issue noted was that the changes could create 500,000 more self-assessed taxpayers, because taxpayers will have to assess their own liability for the new charge – which would be very expensive for HMRC to administer.
Parents on higher incomes who continued to receive Child Benefit after January 2013 have been reminded that they must register for Self Assessment by 5 October 2013 to avoid any penalties in relation to the High Income Child Benefit Charge.
Taxationweb reports that HMRC will be writing to around two million higher rate taxpayers, including those affected by recent changes to Child Benefit. The letter reminds them that if their income is over £50,000 and they or their partner received Child Benefit in 2012/13, they will need to complete a Self Assessment tax return for the 2012/13 tax year. They must register now with HMRC for Self Assessment if they have not already done so.
Lin Homer, said:
“HMRC is committed to helping people pay the right amount of tax. If you have had certain changes to your income in the last year, including those affected by the changes to Child Benefit, you have until 5 October to register for Self Assessment.”
The increase in the number of people registering for self assessment, as a result of the child benefit changes, will significantly add to HMRC's workload.
Tax does have to be taxing.
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