logo
HMRC issues urgent Child Benefit reminder by August 31

HMRC issues urgent Child Benefit reminder by August 31

Glasgow Timesa day ago
Last year, 870,000 parents extended their Child Benefit payments, getting a £1,354 a year boost.
Parents of 16 to 19 year olds should have received a letter from HM Revenue and Customs (HMRC) to extend their Child Benefit claim if their child is staying in education or training, but if they do not apply for them to carry on, they will automatically stop on August 31 on or after their child's 16th birthday.
Is your 16-19 year old planning to stay in education or training in September? Extend your Child Benefit claim now. Find out how 👇https://t.co/pDKoAafTZv — HMRC Press Office (@HMRCpressoffice) May 13, 2025
How much is Child Benefit?
Child Benefit is currently worth £26.05 per week - or £1,354.60 a year - for the eldest or only child and £17.25 per week - or £897 a year - for each additional child. More than 870,000 parents extended their Child Benefit claim for their teen last year with the majority confirming online or via the HMRC app in minutes.
Myrtle Lloyd, HMRC's Director General for Customer Services, says: "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."
Child Benefit can continue to be paid for young people who are studying full time in non-advanced education as well as unpaid approved training courses.
Visit the HMRC Child Benefit website to check full eligibility.
What about the High Income Child Benefit Charge?
If either the claimant or their partner has an individual income of between £60,000 and £80,000, the higher earner will be subject to the High Income Child Benefit Charge.
For families who fall into this category, the online Child Benefit tax calculator provides an estimate of how much benefit they will receive, and what the charge may be.
From this summer, as part of 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 instead of filing a Self Assessment tax return.
The new service will cut red tape for eligible employed parents who are liable to the High Income Child Benefit Charge but those who choose to pay the charge through their Self Assessment can continue to do so.
Families who have previously opted out of Child Benefit payments can opt back in and restart their payments quickly and easily online or via the HMRC app.
If you earn under 80k and haven't claimed Child Benefit yet, it could be financially worth your while. 💷
You or your partner can now earn up to £60k before you start paying the High Income Child Benefit Charge.
Claim online or in the HMRC app. ⬇️ https://t.co/QS26Y4qIhG pic.twitter.com/OOBmRu1WKv — HM Revenue & Customs (@HMRCgovuk) July 2, 2025
There's also an HMRC reminder for the Child Trust Fund - don't miss out
Teenagers turning 16 can take control of their HMRC Child Trust Fund savings account, which could be worth thousands of pounds, and can withdraw the money once they turn 18. Child Trust Funds were set up for every child born between 1 September 2002 and 2 January 2011.
If teenagers or their parents and guardians know who their Child Trust Fund provider is, they can contact them directly. If they don't know where their account is, they can use the free online tool on GOV.UK to find out who their Child Trust Fund provider is.
Recommended reading:
Will I get a letter from HMRC?
1.5 million letters have been sent to parents of 16 to 19 year olds reminding them to extend their Child Benefit claim for their teenager if they are staying in full time education or approved training.
Eligible customers no longer need to wait for the letter to extend their claim. The service will be open online or in the HMRC app for all eligible customers.
Customers can update their Child Benefit claim via the HMRC app and via GOV.UK. Claimants who are unable to use online services can call or write to us using the contact details in their renewal letter.
Can I claim if my teenager is on a course for work?
Parents cannot claim Child Benefit if their child is taking a course that is part of a job contract.
Parents can view and manage their claim quickly and easily online or on the HMRC app.
This includes viewing payment information and proof of their claim, adding additional children and updating their details.
Orange background

Try Our AI Features

Explore what Daily8 AI can do for you:

Comments

No comments yet...

Related Articles

HMRC could claw back millions in VAT from advance school fees
HMRC could claw back millions in VAT from advance school fees

Times

time7 hours ago

  • Times

HMRC could claw back millions in VAT from advance school fees

HM Revenue & Customs could recover more than £500 million in private school fees that have been paid in advance to avoid VAT, tax experts say. Hundreds of millions of pounds in fees were paid upfront before the 20 per cent tax came into effect on January 1 this year. Britain's top 50 independent schools received £515 million in advance fees last year, up from £121 million in 2023, according to analysis by the Daily Telegraph of the latest annual accounts at Companies House and the Charity Commission. Tax experts told The Guardian that money saved using the advance payment schemes could be clawed back by the government. They said HMRC would scrutinise the schemes to check whether they included specific details such as set prices, without which parents could be vulnerable to VAT demands in years to come. Dan Neidle, a tax lawyer and the founder of Tax Policy Associates, said many schools used fee-in-advance schemes such as a deposit. He said: 'We reckoned [there's] a high chance that didn't work from a VAT perspective, because VAT then applies at the point each year's fees are invoiced. The question is whether HMRC will be challenging these.' The Treasury has said the Office for Budget Responsibility considered the use of prepayment schemes when making its forecasts for how much money would be raised by the VAT raid. The Treasury expects VAT on school fees to raise £1.8 billion a year ALAMY Fees gathered from prepayment schemes have risen at the UK's most expensive schools, including Brighton College, which recorded £50.1 million in total prepaid fees last year, an increase of £4.1 million from 2023. Only 86 of its pupils were covered by the school's prepayment scheme in 2023. That figure increased to 819 last year as parents scrambled to beat the VAT deadline. Eton College collected £52.7 million in advance fee payments last year, up £16.6 million from 2023. At Winchester College, fees collected in advance rose to £19 million last year from £4.4 million the year before. More than 50 independent schools have closed or announced plans to shut since Labour imposed VAT on fees. The government predicts that 100 schools could shut over the next three years. Leaders in education said that the policy was already driving out pupils and putting more schools at risk of collapse.

Britain already has a de facto wealth tax
Britain already has a de facto wealth tax

Telegraph

time8 hours ago

  • Telegraph

Britain already has a de facto wealth tax

New figures from the National Institute of Economic and Social Research show that Chancellor Rachel Reeves is on course to miss her borrowing targets by over £40bn, again raising the prospect of fresh tax hikes this autumn. There are few prizes on offer for guessing where the minds of Labour MPs will turn. Yet between inheritance tax, council tax, stamp duty, capital gains, corporation tax, and the tax on interest, there is scarcely an element of an individual's portfolio which isn't in some way squeezed to fund the ever-expanding welfare state. An additional 120,000 people are predicted by HMRC to pay income tax on the interest on their savings this year, bringing the total number paying to 2.64 million. Some of this is due to higher returns; another component, however, is down to the freeze in tax thresholds, driving down the inflation adjusted value of the tax-free limit. Britain is not a country blessed with an excessive level of private savings and with the Government actively attempting to boost investment, it might be thought that penalising one of the channels through which funds can be lent to firms would be discouraged. Such analysis, however, reckons without the obsessive equalising instinct which has taken root in Westminster. With the Government apparently fixated on the curious objective of divorcing living standards from economic contributions entirely, the need for tax revenue today is taking precedence over the need to provide for tomorrow. The result of this short-sighted creation of a hostile environment for wealth will surely be to further undermine the sustainability of the public finances in the long run.

HMRC plans new private school tax grab
HMRC plans new private school tax grab

Telegraph

time9 hours ago

  • Telegraph

HMRC plans new private school tax grab

The Government is preparing a fresh tax grab on private school parents after Britain's richest families paid hundreds of millions of pounds of fees early to avoid VAT. HMRC will target schools where families paid several years' school fees in advance ahead of the 20 per cent levy coming into force on Jan 1 2025, meaning the payments were not taxed. Officials believe they will be able to claim that flaws in some of the advance schemes will mean tax is due after all. It comes after The Telegraph revealed on Monday that there was a surge in pre-paid fees at the top 50 private schools last year, up to £515 million, up from £121 million in 2023. Government sources said that HMRC would now 'carefully scrutinise' pre-payments amid concerns that some schools may have abused them to avoid VAT. Internal Treasury communications obtained by The Telegraph show the Government expects lengthy legal battles between HMRC and private schools as a result. A briefing note sent by Treasury officials to the Chancellor's team last summer said that 'the more egregious the [prepayment] scheme, the more easily we would expect HMRC to be able to recoup the revenue'. Private schools were deluged with fee pre-payments last year after Labour confirmed in its election manifesto that it would charge VAT on fees for the first time.

DOWNLOAD THE APP

Get Started Now: Download the App

Ready to dive into a world of global content with local flavor? Download Daily8 app today from your preferred app store and start exploring.
app-storeplay-store