HMRC HICBC Rules 2026£60k Taper Threshold100% Cap at £80k
High Income Child Benefit Charge Calculator
Calculate your High Income Child Benefit Charge (HICBC) tax liability under HMRC's £60,000 to £80,000 taper threshold rules.
HICBC Taper & Tax Charge Estimator
Estimate tax charge based on highest earner's adjusted net income
£
HICBC Tax Impact Breakdown:
Gross Child Benefit
£2213
Annual PaymentHMRC HICBC Tax Charge (50%)
£1106
Self-Assessment TaxNet Benefit Kept
£1106
Effective Retained BenefitComplete Guide to High Income Child Benefit Charge Rules
The High Income Child Benefit Charge (HICBC) applies if you or your partner earn over £60,000 per year and receive Child Benefit. The charge is calculated based on the individual with the highest adjusted net income.
HICBC Taper Scale
| Adjusted Net Income Range | Tax Charge Percentage | Action Required |
|---|---|---|
| Under £60,000 | 0% (No charge) | Keep full Child Benefit payments |
| £60,000 to £80,000 | 1% charge for every £200 earned over £60,000 | Pay partial tax charge via Self-Assessment |
| Over £80,000 | 100% charge (Full clawback) | Pay full charge or opt out of payments (keep NI credits) |
Frequently Asked Questions
The HICBC threshold is £60,000. If your adjusted net income exceeds £60,000, a tax charge applies. The charge tapers up to £80,000, above which 100% of the Child Benefit is clawed back through Self-Assessment.
Yes. Even if you choose to opt out of receiving payments to avoid the tax charge, claiming Child Benefit ensures the non-working parent receives valuable National Insurance credits towards their State Pension until the child turns 12.
Making personal pension contributions reduces your Adjusted Net Income. For example, if you earn £65,000 and pay £5,000 gross into a pension, your adjusted income drops to £60,000, completely eliminating the HICBC tax charge.