PART 6Income and capital

SECTION 4Self-employed earners

Earnings of self-employed earners37

1

Subject to F5paragraphs (2) and (2A), “earnings”, in the case of employment as a self-employed earner, means the gross income of the employmentF3....

2

Earnings” shall not include any payment to which paragraph F626, 27 or 27A of Schedule 5 refers (payments in respect of a person accommodated with the claimant under arrangements made by a local authority or voluntary organisation F7payments made to the claimant by a health authority, local authority or voluntary organisation in respect of persons temporarily in the claimant's care) F8and any payments made to a claimant under section 73(1)(b) of the Children and Young People (Scotland) Act 2014 (kinship care assistance) nor shall it include any sports award.

F42A

Earnings shall also not include any payment made in accordance with section 26A of the Children (Scotland) Act 1995 (duty to provide continuing care)—

a

to a claimant; or

b

where paragraph (2B) applies, to another person (“A”) which A passes on to the claimant.

2B

This paragraph applies only where A—

a

was formerly in the claimant’s care;

b

is aged 16 or over; and

c

continues to live with the claimant.

F23

This paragraph applies to—

a

royalties or other sums paid as a consideration for the use of, or the right to use, any copyright, design, patent or trade mark; or

b

any payment in respect of any—

i

book registered under the Public Lending Right Scheme 1982; or

ii

work made under any international public lending right scheme that is analogous to the Public Lending Right Scheme 1982,

where the claimant is the first owner of the copyright, design, patent or trade mark, or an original contributor to the book or work concerned.

F14

Where the claimant’s earnings consist of any items to which paragraph (3) applies, those earnings shall be taken into account over a period equal to such number of weeks as is equal to the number obtained (and any fraction shall be treated as a corresponding fraction of a week) by dividing the earnings by the amount of housing benefit which would be payable had the payment not been made plus an amount equal to the total of the sums which would fall to be disregarded from the payment under Schedule 4 (sums to be disregarded in the calculation of earnings) as appropriate in the claimant’s case.