Government changes to child benefit claims for households where at least one person earns over £50,000 can lead to surprise Self-Assessment penalties, if there is a failure to register for Self-Assessment prior to the 5th October 2014 and your circumstances have changed.

Less than two weeks away!

Consider these two scenario’s

1. You or your partner have received a pay increase in the past year taking your employment income in excess of £50,000, and you continue to receive child benefit.  You must register for Self -Assessment. The 5th October 2014 deadline applies whether you intend to complete your return on paper form by 31st October 2104, or online by 31st January 2015.

2. You have returned to work in the past year following maternity leave, earn in excess of £50,000 and intend to continue to claim child benefit. You again will have to register for Self-Assessment prior to the 5th October 2014.

Remember  Self-Assessment appeals are more difficult with HMRC, as lack of knowledge of the tax system is not a relevant excuse.