Income Tax (Earnings and Pensions) Act 2003

677 UK social security benefits wholly exempt from tax: Table B U.K.

(1) No liability to income tax arises on the United Kingdom social security benefits listed in Table B.

TABLE B—PART 1

BENEFITS PAYABLE UNDER PRIMARY LEGISLATION [F1 AND NORTHERN IRELAND WELFARE SUPPLEMENTARY PAYMENTS] [F2 etc]

Social security benefit	Payable under
Attendance allowance	SSCBA 1992 SSCB(NI)A 1992	Section 64 Section 64
Back to work bonus	JSA 1995 JS(NI)O 1995	Section 26 Article 28
Bereavement payment	F3 ... F4 ...	F3 ... F4 ...
[F5 Bereavement support payment	PA 2014 Any provision made for Northern Ireland which corresponds to section 30 of PA 2014	Section 30]
[F6 Best start grant	SS(S)A 2018	Sections 24 and 32]
Child benefit	SSCBA 1992 SSCB(NI)A 1992	Section 141 Section 137
Child’s special allowance	SSCBA 1992 SSCB(NI)A 1992	Section 56 Section 56
Child tax credit	TCA 2002	Part 1
Council tax benefit	SSCBA 1992	Section 131
[F7 Disability assistance for children and young people	SS(S)A 2018	Sections 24 and 31]
Disability living allowance	SSCBA 1992 SSCB(NI)A 1992	Section 71 Section 71
[F6 Discretionary housing payment	SS(S)A 2018	Section 88]
[F6 Discretionary support award	DSR(NI) 2016	Regulation 2]
[F6 Funeral expense assistance	SS(S)A 2018	Sections 24 and 35]
[F6 Flexible support fund payment	ETA 1973	Section 2]
Guardian’s allowance	SSCBA 1992 SSCB(NI)A 1992	Section 77 Section 77
[F8 Health in pregnancy grant	SSCBA 1992 SSCB(NI)A 1992	Section 140A Section 136A]
Housing benefit	SSCBA 1992 SSCB(NI)A 1992	Section 130 Section 129
[F9 In-work credit	ETA 1973 ETA(NI) 1950	Section 2 Section 1
In-work emergency discretion fund payment	ETA 1973	Section 2
In-work emergency fund payment	ETA(NI) 1950	Section 1]
[F10 Income-related employment and support allowance	WRA 2007	Section 1(2)(b)
	Any provision made for Northern Ireland which corresponds to section 1(2)(b) of WRA 2007]
Industrial injuries benefit (apart from industrial death benefit)	SSCBA 1992 SSCB(NI)A 1992	Section 94 Section 94
[F7 Job start	ETA 1973	Section 2]
[F6 Payment under a council tax reduction scheme: England	LGFA 1992	Section 13A(2)]
Pensioner’s Christmas bonus	SSCBA 1992 SSCB(NI)A 1992	Section 148 Section 144
[F11 Personal independence payment	WRA 2012	Section 77
	Any provision made for Northern Ireland which corresponds to section 77 of WRA 2012]
Payments out of the social fund	SSCBA 1992 SSCB(NI)A 1992	Section 138 Section 134
[F9 Return to work credit	ETA 1973 ETA(NI) 1950	Section 2 Section 1]
Severe disablement allowance	SSCBA 1992 SSCB(NI)A 1992	Section 68 Section 68
[F12 Short-term assistanceF13	SS(S)A 2018F14	Section 36]
[F15 State maternity allowance	SSCBA 1992	Section 35 or 35B
	Any provision made for Northern Ireland which corresponds to section 35 or 35B of SSCBA 1992]
State pension credit	SPCA 2002 SPCA(NI) 2002	Section 1 Section 1
[F16 Universal credit	WRA 2012	Part 1
	Any provision made for Northern Ireland which corresponds to Part 1 of WRA 2012]
[F17 Welfare supplementary payment payable pursuant a reduction of the amount payable of housing benefit	HB(WSP)R(NI) 2017	Regulation 2
	WSPR(NI) 2016	Regulation 4
Welfare supplementary payment payable pursuant to a reduction of the amount payable of employment and support allowance	WSP(LCP)R(NI) 2016	Regulation 8 (when the recipient is entitled to the payment by meeting the condition in regulation 8(2)(b))
	SP(LDRP)R(NI) 2016	Regulation 20, 21 or 22
Welfare supplementary payment payable pursuant to the loss of disability living allowance	WSP(LDLA)R(NI) 2016	Regulation 4, 8, 13 or 14
Welfare supplementary payment payable pursuant to a reduction in the amount payable of state pension credit	WSP(LCP)R(NI) 2016	Regulation 16
Welfare supplementary payment payable pursuant to a reduction in the amount payable of working tax credit	WSP(LDRP)R(NI) 2016	Regulation 27 or 28
Welfare supplementary payment payable pursuant to a reduction in the amount payable of state pension tax credit	WSP(LDRP)R(NI) 2016	Regulation 33 or 34]
[F18 Winter heating assistanceF19	SS(S)A 2018	Section 30]
Working tax credit	TCA 2002	Part 1
[F6 Young carer grant	SS(S)A 2018	Sections 24 and 28]

TABLE B — PART 2

BENEFITS PAYABLE UNDER REGULATIONS

Social security benefit	Payable under regulations made under
F20 . . .	F20 ... F20 ...	F20 . . .
[F21 Discretionary housing payment	CSPSSA 2000	Section 69]
[F21 Payment under a council tax reduction scheme: Wales	LGFA 1992	Section 13A(4)]
Payments to reduce under-occupation by housing benefit claimants	WRPA 1999 WRP(NI)O 1999	Section 79 Article 70
[F22 Scottish child payment	SS(S)A 2018	Section 79]

(2) Industrial death benefit is charged to tax under Part 9 (see section 577).

(3) In this section “industrial death benefit” means any benefit payable under—

(a) section 94 of, and Part 6 of Schedule 7 to, SSCBA 1992, or

(b) section 94 of, and Part 6 of Schedule 7 to, SSCB(NI)A 1992.

Textual Amendments

F1 Words in s. 677(1) inserted (with effect in accordance with reg. 2 of the amending S.I.) by The Taxation of Northern Ireland Welfare Supplementary Payments Regulations 2017 (S.I. 2017/338), regs. 1, 15(a)

F2 Word in s. 677(1) Table B Pt. 1 heading inserted (12.2.2019) by Finance Act 2019 (c. 1), s. 12(6)

F3 Words in s. 677(1) Table B Pt. 1 omitted (6.4.2017) by virtue of Pensions Act 2014 (c. 19), s. 56(1), Sch. 16 para. 48; S.I. 2017/297, art. 3(2) (with arts. 4, 5)

F4 Words in s. 677(1) Table B Pt. 1 omitted (N.I.) (6.4.2017) by virtue of Pensions Act (Northern Ireland) 2015 (c. 5), s. 53(1), Sch. 16 para. 47; S.R. 2017/44, art. 2(2) (with arts. 3, 4)

F5 Words in s. 677(1) inserted (with effect in accordance with s. 16(4) of the amending Act) by Finance Act 2015 (c. 11), s. 16(2)

F6 Words in s. 677(1) Table B Pt. 1 inserted (12.2.2019) by Finance Act 2019 (c. 1), s. 12(5)

F7 Words in s. 677(1) Table B Pt. 1 inserted (6.4.2020 with effect in relation to the tax year 2020-21 and subsequent tax years) by Finance Act 2020 (c. 14), s. 12(2)(4)

F8 Words in s. 677(1) Table B Pt. 1 inserted (1.1.2009) by Health and Social Care Act 2008 (c. 14), ss. 138(4), 170(3)(4); S.I. 2008/3137, art. 2

F9 Words in s. 677(1) Table B Pt. 1 inserted (with effect in accordance with s. 46(3) of the amending Act) by Finance Act 2008 (c. 9), s. 46(1)

F10 Words in s. 677(1) Table B Pt. 1 inserted (18.3.2008 for specified purposes) by Welfare Reform Act 2007 (c. 5), s. 70(2), Sch. 3 para. 24(5); S.I. 2008/787, art. 2(1), Sch.

F11 Words in s. 677(1) Table B Pt. 1 inserted (8.4.2013 for specified purposes, 10.6.2013 in so far as not already in force) by Welfare Reform Act 2012 (c. 5), s. 150(3), Sch. 9 para. 49; S.I. 2013/358, art. 7(1)(2)(k), Sch. 3; S.I. 2013/1250, art. 2

F12 Words in s. 677(1) Table B Pt. 1 inserted (with effect in accordance with reg. 3 of the amending S.I.) by The Income Tax (Exemption of Social Security Benefits) Regulations 2021 (S.I. 2021/1341), regs. 1(1), 2(a)

F13 At present, the Scottish Ministers have only legislated in relation to eligibility to short-term assistance in cases where, generally, a decision about an individual’s entitlement to child disability payment has been superseded, or the individual is awaiting a re-determination or appeal about child disability payment to be decided. The relevant rules are contained in the Disability Assistance for Children and Young People (Scotland) Regulations 2021 (S.S.I. 2021/174), which came into force on 26 July 2021.

F14 This abbreviation is defined, in Part 1 of Schedule 1 to ITEPA, as Social Security (Scotland) Act 2018.

F15 Words in s. 677(1) Table B Pt. 1 substituted (1.4.2014) by The Social Security (Maternity Allowance) (Participating Wife or Civil Partner of Self-employed Earner) Regulations 2014 (S.I. 2014/606), regs. 1(2), 3

F16 Words in s. 677(1) Table B Pt. 1 inserted (with effect in accordance with s. 13(2) of the amending Act) by Finance Act 2013 (c. 29), s. 13(1)

F17 Words in s. 677(1) Table B Pt. 1 inserted (with effect in accordance with reg. 2 of the amending S.I.) by The Taxation of Northern Ireland Welfare Supplementary Payments Regulations 2017 (S.I. 2017/338), regs. 1, 15(b)

F18 Words in s. 677(1) Table B Pt. 1 inserted (with effect in accordance with reg. 4 of the amending S.I.) by The Income Tax (Exemption of Social Security Benefits) Regulations 2021 (S.I. 2021/1341), regs. 1(1), 2(b)

F19 At present, the Scottish Ministers have only legislated in relation to eligibility to winter heating assistance for children and young people. The eligibility rules are set out in the Winter Heating Assistance for Children and Young People (Scotland) Regulations 2020 (S.S.I. 2020/352), which came into force on 9 November 2020.

F20 Words in s. 677(1) Table B Pt. 2 repealed (22.7.2004) by Finance Act 2004 (c. 12), Sch. 17 para. 9(5), Sch. 42 Pt. 2(12)

F21 Words in s. 677(1) Table B Pt. 2 inserted (12.2.2019) by Finance Act 2019 (c. 1), s. 12(7)

F22 Words in s. 677(1) Table B Pt. 2 inserted (6.4.2020 with effect in relation to the tax year 2020-21 and subsequent tax years) by Finance Act 2020 (c. 14), s. 12(3)(4)

Modifications etc. (not altering text)

C1 S. 677 modified (22.12.2021) by The Income Tax (Exemption of Social Security Benefits) Regulations 2021 (S.I. 2021/1341), regs. 1(1), 6