The High Income Child Benefit Charge (HICBC) is a tax that applies to individuals in the United Kingdom who receive Child Benefits and have an adjusted net income (ANI) above a certain threshold. The HICBC is designed to claw back some or all of the Child Benefits received by high-income earners, in order to ensure that the benefit is targeted at those who are most in need.

The HICBC is calculated as a percentage of the Child Benefit received, and the percentage increases as the ANI increases. For ANIs above £50,000, the HICBC is equal to 100% of the Child Benefit received. This means that individuals with ANIs above £50,000 do not receive any Child Benefit, and any Child Benefit paid is effectively cancelled out by the HICBC.

The HICBC is applied through the tax system, and individuals who are liable for the charge must report their Child Benefit and ANI on their tax return. If you are a recipient of Child Benefit and your ANI is above the threshold, it is important to understand your obligations under the HICBC and to ensure that you report your income and Child Benefit correctly on your tax return.