Paragraph 8
In calculating the disposable income of the person concerned, there shall be left out of account:
any income tax paid or payable on income treated under the provisions of this Schedule as his income;
any contributions estimated to have been paid under Part I of the Social Security Contributions and Benefits Act 1992 during or in respect of the seven days up to and including the date of the application for advice and assistance;
the following payments made under the Social Security Contributions and Benefits Act 1992:
disability living allowance;
attendance allowance paid under section 64f1 or Schedule 8 paragraphs 4 or 7(2);
constant attendance allowance paid under section 104 as an increase to a disablement pension; and
any payment made out of the social fund; and
any payment made under the Community Care (Direct Payments) Act 1996f2.
Subject to sub-paragraph (3), in calculating the disposable income of the person concerned there shall be a deduction at or equivalent to the following rates (as they applied at the beginning of the period of calculation):
in respect of the maintenance of his partner, the difference between the income support allowance for a couple both aged not less than 18 (which is specified in column 2 of paragraph 1(3)(c) of Schedule 2 to the Income Support (General) Regulations 1987f3, and the allowance for a single person aged not less than 25 (which is specified in column 2 of paragraph 1(1)(e) of that Schedule); and
in respect of the maintenance of any dependant child or dependant relative of his, where such persons are members of his household:
in the case of a dependant child or a dependant relative aged 15 or under at the beginning of the period of calculation, the amount specified at (a) in column 2 in paragraph 2(1) of the Schedule referred to in sub-paragraph (a); and
in the case of a dependant child or a dependant relative aged 16 or over at the beginning of the period of calculation, the amount specified at (b) in column 2 in paragraph 2(1) of that Schedule.
The supplier may reduce any rate provided by virtue of paragraph (2) by taking into account the income and other resources of the dependant child or dependant relative to such extent as appears to him to be equitable.
In ascertaining whether a child is a dependant child or whether a person is a dependant relative for the purposes of this paragraph, regard shall be had to their income and other resources.