Another fine mess | 28 October 2010

You know that child benefit cut for higher-rate taxpayers? Yeah, well, it may not be quite as straightforward as the government have hitherto indicated. In an important post on his Wall Street Journal blog, Iain Martin sets out a problem that is exercising nerves and minds in the Treasury: simply put, there’s no existing method for establishing whether mothers (who receive child benefit) are living in a household which pays tax at the higher rate.