Child Benefit "trap"

[Deskdiary]

I always had a feeling this was going to catch some people out.

https://www.dailymail.co.uk/money/news/article-6182141/Hard-working-families-hounded-pay-thousands-falling-foul-child-benefit-rules.html

The new rules introduced in 2012 were very clear so I don't have a great deal of sympathy with those that have been caught out...but my question isn't about the so-called trap.

My question is....

Can anybody please explain to me the rationale behind the scenario that a couple both earning £49,999 are entitled to the full benefit whereas a couple where only one person works but earns £60,000 is not entitled to anything? To rub salt into the wound, the person earning £60k is paying tax so the couple earning £40k more than him or her can receive child benefit.

This just strikes me as completely bananas.

[Theland]

Who is more important? These hard working families or the benefit scrounging asylum seekers and recipients of foreign aid?
Come on UKIP ride to the rescue!

[Deskdiary]

^^^Eh?

[Theland]

If the government want to claw back money, why pick on these families?

[Deskdiary]

What does that have to do with the question?

[Cloverjo]

It is bananas, deskdiary.
I know my mum relied heavily on the Child Benefit - or Family Allowance as it was back then - so I wouldn't want to see it abolished. But, in your scenario in your OP it is ridicularse.

[Theland]

Yes that it seems unfair but so are the examples I quoted.

[cassa333]

One does wonder at the logic sometimes.

And of course this sort of stupidity show why so many people don’t trust the great and the good to be able to organise a pissup in a brewery

[gulliver1]

who sanctioned this was it IDS or Osborne?.

[naomi24]

//This just strikes me as completely bananas. //

Probably because it is.

[dannyk13]

Neither, it is HMRC's responsibility.

[ummmm]

I get sick and tired of people slating Child benefit.

Years back families with children paid less tax. This was scrapped as often the main bread winner might go to the pub and spend their wages.

So they changed tax codes and introduced CB which is paid to the main carer. It's only just just enough to feed the children.

And before anyone says you shouldn't have children you can't afford Most people can afford them but they have no control over the breadwinner blowing the money in the bookies or the pub!

[ToraToraTora]

The rules are simple enough, monumentally stupid of course but simple, so no excuse really.

[gulliver1]

08.48 , That's odd ,when I read the link it says " New rules introduced by the then Chancellor George Osborne".

[dannyk13]

So why are you asking if it was IDS?

[gulliver1]

So why are you saying it was IDS, when it was George Osborne, eh.

[dannyk13]

Where did I say that it was IDS? I said the responsibility for its implementation was wit HMRC.

[gulliver1]

Her Majestys Revenue and Customs , are only Tax Collectors, ok.

[bednobs]

My husband earns a few quid a year over the £50k and there seems an inordinate amount of faffing about to be done (he also gets less childcare vouchers. Currently for various reasons i'm not earning so we are in this position It does seem bonkers, butthose are the rules i guess

[dannyk13]

Gulliver did you read the link?
//n some instances, families say HM Revenue & Customs (HMRC) has refused to allow them to repay the debt in manageable instalments//

[Rockrose]

//Her Majestys Revenue and Customs , are only Tax Collectors, ok//

No they are not - they are responsible for tax credits and child benefit