The Income-related Benefits (Subsidy to Authorities) Amendment Order 2015

Additions to an authority’s subsidy

3.—(1) The 1998 Order is amended as follows.

(2) In article 18 (additions to subsidy), after paragraph (6ZA)(1) insert—

“(6ZB) For the purposes of paragraphs (1)(e) and (2), an “authority error overpayment” or an “administrative delay overpayment” does not include an overpayment of a kind to which paragraphs (6ZC) or (6ZD) apply.

(6ZC) This paragraph applies to an overpayment where—

(a) an authority receives real time information in respect of the overpayment which indicates that the overpayment was caused by the incorrect declaration of PAYE employment income or PAYE pension income by the claimant; and

(b) the authority—

(i) has sufficient real time information to make a revision or supersession decision on the claimant’s award; and

(ii) makes a revision or supersession decision during the period of 4 weeks beginning with the date on which the authority received the real time information.

(6ZD) This paragraph applies to an overpayment where—

(a) an authority receives real time information in respect of the overpayment which indicates that the overpayment was caused by the incorrect declaration of PAYE employment income or PAYE pension income by the claimant;

(b) the authority has insufficient real time information to make a revision or supersession decision;

(c) the authority requests further information from the claimant; and

(d) the authority makes a revision or supersession decision either—

(i) if the additional information is provided during the period of 4 weeks beginning with the date on which the authority received the real time information (“the 4 week period”), by the end of that 4 week period; or

(ii) if the additional information is provided after the 4 week period has ended, by the Monday following the date on which the additional information is received.

(6ZE) For the purposes of paragraphs (6ZC) and (6ZD)—

“PAYE employment income” has the meaning in section 683(2) of the Income Tax (Earnings and Pensions) Act 2003(2);

“PAYE pension income” has the meaning in section 683(3) of the Income Tax (Earnings and Pensions) Act 2003;

“real time information” means information which is reported by a Real Time Information employer or Real Time Information pension payer in respect of the PAYE employment income or PAYE pension income of its employees;

“Real Time Information employer” has the meaning in regulation 2A(1) of the Income Tax (Pay As You Earn) Regulations 2003(3);

“Real Time Information pension payer” has the meaning in regulation 2B(1) of the Income Tax (Pay As You Earn) Regulations 2003(4).”.

(1)

Paragraph (6ZA) of article 18 was inserted by S.I. 2010/2481.

(2)

2003 c.1.

(3)

S.I. 2003/2682. Regulation 2A(1) was inserted by S.I. 2012/822 and amended by S.I. 2013/521.

(4)

S.I. 2003/2682. Regulation 2B(1) was inserted by S.I. 2012/822 and amended by S.I. 2013/521.