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R05 Child Benefit and tax credits: free practice questions

5 free questions on Child Benefit and tax credits, part of learning outcome 3 (State benefits). Pick an answer to check it, or open the answer to see why each option is right or wrong.

  1. Question 1 of 5

    For which child can Child Benefit be claimed?

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    The answer is C: A child under 16, or under 20 in full-time education

    Child Benefit is paid for a child under 16, or under 20 in full-time education. It is non-contributory, not means-tested and tax-free.

    Why the other options are wrong

    A
    It isn't limited to children under five.
    B
    A child in paid work doesn't qualify on that basis; full-time education is the test after 16.
    D
    Child Benefit doesn't extend to 25; it's under 16, or under 20 in full-time education.

  2. Question 2 of 5

    Ella receives Child Benefit of £1,406.60 a year for one child. Her partner's adjusted net income is £70,000. What High Income Child Benefit Charge is due?

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    The answer is A: £703.30

    The charge is 1% of Child Benefit for every £200 of income over £60,000. £10,000 excess ÷ £200 = 50, so the charge is 50% × £1,406.60 = £703.30.

    Why the other options are wrong

    B
    Income over £60,000 triggers the charge, so something is due.
    C
    The full charge only applies once income reaches £80,000; at £70,000 it's half.
    D
    £140.66 is 10%; the charge is 1% for every £200 over £60,000, which is 50% here.

  3. Question 3 of 5

    Both Fran and her husband earn over £60,000. Who pays the High Income Child Benefit Charge?

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    The answer is D: The partner with the higher adjusted net income

    Where both have income over £60,000, the charge applies only to the higher earner. The claimant still receives Child Benefit tax-free.

    Why the other options are wrong

    A
    The charge applies to couples as well as single parents.
    B
    The charge isn't tied to who claims; it falls on the higher earner.
    C
    The charge isn't split; only the higher earner pays.

  4. Question 4 of 5

    What happened to Child Tax Credit and Working Tax Credit from 6 April 2025?

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    The answer is C: They were removed, with Universal Credit or Pension Credit taking over

    Tax credits were withdrawn entirely from 6 April 2025. Universal Credit took over for those under State Pension age and Pension Credit for those over it.

    Why the other options are wrong

    A
    They didn't become contributory benefits; they ended.
    B
    They weren't merged into Child Benefit; Universal Credit and Pension Credit took over.
    D
    Tax credits were withdrawn, not doubled.

  5. Question 5 of 5

    Leah claims Child Benefit for two children (£27.05 a week for the first and £17.90 for the second). Her partner's adjusted net income is £65,000 and hers is £30,000. What High Income Child Benefit Charge is due for a full year?

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    The answer is B: £584.35

    Annual Child Benefit is (£27.05 + £17.90) × 52 = £2,337.40. The charge is 1% for every £200 over £60,000: £5,000 ÷ £200 = 25%, so 25% × £2,337.40 = £584.35, paid by her partner as the higher earner.

    Why the other options are wrong

    A
    £1,168.70 is 50%, which would need income of £70,000.
    C
    £351.65 applies 25% to the first child only; both children's benefit counts.
    D
    £2,337.40 is the whole year's Child Benefit; the full charge only applies at £80,000 or more.

Practise all 6 Child Benefit and tax credits questions

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