Interpretation of state pension credit provisions

I1C1I215 Income and capital

1

In this Act “income” means income of any of the following descriptions—

a

earnings;

b

working tax credit;

c

retirement pension income;

d

income from annuity contracts (other than retirement pension income);

e

prescribed social security benefits (other than retirement pension income and state pension credit);

f

foreign social security benefits of any prescribed description;

g

a war disablement pension or war widow’s or widower’s pension;

h

a foreign war disablement pension or foreign war widow’s or widower’s pension;

i

income from capital;

j

income of any prescribed description.

2

Regulations may provide that a person’s capital shall be deemed to yield him income at a prescribed rate.

3

Income and capital shall be calculated or estimated in such manner as may be prescribed.

4

A person’s income in respect of any period shall be calculated in accordance with prescribed rules.

5

The rules may provide for the calculation to be made by reference to an average over a period (which need not consist of or include the whole or any part of the period concerned).

6

Circumstances may be prescribed in which—

a

a person is treated as possessing capital or income which he does not possess;

b

capital or income which a person does possess is to be disregarded;

c

income is to be treated as capital; or

d

capital is to be treated as income.

7

Subsections (2) to (6) have effect for the purposes of this Act.