PART 9Amounts of Allowance

Payments treated as not being payments to which section 3 applies68.

The following payments are to be treated as not being payments to which section 3 of the Act applies—

(a)

any pension payment made to a claimant as a beneficiary on the death of a member of any pension scheme;

(b)

any PPF periodic payment made to a claimant as a beneficiary on the death of a person entitled to such a payment;

(c)

where a pension scheme is in deficit or has insufficient resources to meet the full pension payment, the extent of the shortfall;

(d)

any pension payment made under an instrument specified in section 639(2) of the Income Tax (Earnings and Pensions) Act 200382;

(e)

any guaranteed income payment (which means a payment made under article 15(1)(a) or 29(1)(a) of the Armed Forces and Reserved Forces (Compensation Schemes) Order 201183);

(f)

any permanent health insurance payment in respect of which the employee had contributed to the premium to the extent of more than 50%.