Published: June 2026 | Fact-Checked & Audited By: David Vance, CTA FCA (Chartered Tax Advisor & Accountant)
This guide is fully updated for the 2026/27 HMRC tax year. All calculations and tax rules have been audited against official UK legislation.
If you or your partner receive Child Benefit and either of you has an income over £60,000, you are subject to the High Income Child Benefit Charge. This charge gradually claws back the benefit value, creating a tax trap for middle-to-high income families in the 2026/27 tax year.
How the Child Benefit Charge works
The charge is calculated as 1% of the Child Benefit received for every £200 of adjusted net income earned between £60,000 and £80,000. Once your income reaches £80,000, the tax charge equals the total amount of Child Benefit received, wiping out the benefit entirely. Determine your specific tax obligation using our Child Benefit Tax Calculator.
Reducing your income to protect Child Benefit
Just like the £100k trap, you can reduce your adjusted net income by contributing to a workplace or personal pension. If you can lower your income back below £60,000, you will completely avoid the charge and keep the full child benefit. Check your tax bands with our Income Tax Calculator.
Frequently Asked Questions (FAQ)
Q: At what income does Child Benefit get taxed?
A: The High Income Child Benefit Charge starts when one partner earns over £60,000, and scales until the benefit is fully taxed at £80,000.
Q: Does the child benefit charge apply to both partners?
A: The charge is payable only by the partner with the highest income, regardless of who actually receives the Child Benefit payments.
Q: Should I opt out of receiving Child Benefit?
A: If your income is above £80,000, you can opt out of receiving payments to avoid filing a Self Assessment tax return. However, you should still fill out the claim form to protect your National Insurance credits for your state pension.