HMRC is in the process of dispatching 1.5 million letters to parents with children aged 16 to 19, urging them to take action by the end of August to ensure their child benefit payments don’t stop come September.
If parents want to keep the flow of child benefit payments when their child remains in education or training post-16, they must apply for an extension. Otherwise, these payments will cease on 31 August after the child reaches their 16th birthday.
HMRC highlighted that last year, a substantial 870,000 parents took the necessary steps to maintain their Child Benefit, with the bulk opting to do so through the gov.uk online platform. From May through July, HMRC will remind parents via letters about confirming online whether their teenagers will stay in full-time education or enter approved training after GCSEs, a requirement to continue pocketing Child Benefit.
To extend their claim in a fast and trouble-free manner, parents can log into the HMRC app or head over to GOV.UK. The letter from HMRC includes a useful QR code directing parents to the service on GOV.UK.
Currently valued at £26.05 weekly – amounting to £1,354.60 annually – for the eldest or an only child, and £17.25 per week – translating to £897 annually – per additional child, Child Benefit can be a sizeable support to families, reports the Express.
Myrtle Lloyd, director general for customer services at HMRC, reminded: “Child Benefit is an important boost to families. As soon as you know what your teenager is planning to do, extend your claim in minutes to guarantee your payments continue in September. Simply go to GOV.UK or the HMRC app to confirm today.”
If the claimant or their partner earns between £60,000 and £80,000, the higher earner will be subject to the High Income Child Benefit Charge, resulting in a reduction of child benefit.
An online child benefit tax calculator is available to provide an estimate of the benefit they will receive, as well as the potential charge.
Starting this summer, under the government’s Plan for Change, families will have the option to use a new digital service to pay the charge directly through their PAYE tax code, eliminating the need for a Self Assessment tax return.
Families who have previously opted out of child benefit payments can choose to opt back in and restart their payments swiftly and easily online or via the HMRC app. Parents are being reminded that they cannot claim child benefit if their child is enrolled in a course that is part of a job contract.
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