Paragraph 8 References to income

(1)

For the purposes hereof the income of any person for a financial year shall, subject however to the provisions of the Appendix hereto, be taken to be his total income for that year; and, in this sub-paragraph and the said Appendix, “total income” has the same meaning as in section 1(2)(b) of the Income and Corporation Taxes Act 1988^f1.

(2)

For the purposes hereof “relevant income” as respects an aided pupil means, in relation to any financial year, his parents' income for that year aggregated with the unearned income for that year, if any, of the pupil himself and of any other of the parents' children who are wholly or mainly dependent on them at the time the relevant income is calculated less, where sub-paragraph (3) or (4) applies, the sum mentioned.

In this sub-paragraph the reference to unearned income is a reference to income other than such as arises from gainful employment.

(3)

Subject to sub-paragraph (4), the relevant income, calculated as aforesaid, shall be reduced by £1,000 in respect of each person other than the aided pupil who–

(a)

at the time the relevant income is calculated, is wholly or mainly dependent on the parents or on payments made to him or for his benefit by one or both of them, and

(b)

is a child or other relative of one or both of the parents:

Provided that, for the purposes of sub-paragraph (a), there shall be disregarded payments, other than sums paid as mentioned in paragraph 3(f) of the Appendix hereto, which fall to be deducted in ascertaining total income for income tax purposes and, accordingly, are taken into account in calculating relevant income in pursuance of sub-paragraph (1).

(4)

Where a child (other than the aided pupil) who is wholly or mainly dependent on the parents or on payments made to him or for his benefit by one or both of them is the holder of an award of a kind described in sub-paragraph (5) and there has been deducted, in calculating the amount of that award, a sum exceeding £1,000 in respect of the parental contribution which is assumed to be available as part of the resources of that child, that sum shall be deducted from the relevant income in lieu of the £1,000 prescribed in respect of that child by sub-paragraph (3).

(5)

The awards referred to in sub-paragraph (4) are–

(a)

a mandatory award paid by a local education authority in England or Wales pursuant to regulations from time to time in force under section 1 of the Education Act 1962^f2 providing for the payment of awards to students attending specified courses of further or higher education^f3;

(b)

an allowance granted by the Secretary of State for Scotland pursuant to regulations from time to time in force or having effect under sections 73 and 74 of the Education (Scotland) Act 1980^f4 providing for the payment of allowances to students^f5;

(c)

an award made by–

(i)

an education and library board in Northern Ireland pursuant to article 50 of the Education and Libraries (Northern Ireland) Order 1986^f6 and regulations from time to time in force thereunder^f7 being an award for the purpose of enabling or encouraging the holder to take advantage of educational facilities specified in or designated under such regulations; or

(ii)

the Department of Education for Northern Ireland pursuant to article 51 of the said Order and regulations from time to time in force thereunder, being an award in respect of attendance at a course for the training of teachers.

(6)

In this paragraph any reference to the parents of an aided pupil is a reference to the persons who are his parents at the time the relevant income is calculated.

Annotations

Footnotes

f1: 1988 c.l.
f2: 1962 c. 12; section 1 was substituted by Schedule 5 to the Education Act 1980 (c. 20) and amended by section 4 of the Education (Grants and Awards) Act 1984 (c. 11).
f3: The Regulations in force at the date on which these Regulations were made were the Education (Mandatory Awards) Regulations 1988 (S.I. 1988/1360), amended by S.I. 1989/352.
f4: 1980 c. 44.
f5: The Regulations in force at the date on which these Regulations were made were the Students' Allowances (Scotland) Regulations 1987 (S.I. 1987/864), as amended by S.I. 1988/1424. The administrative arrangements for assessing assumed parental contributions were set out in the “Guide to Students' Allowances 1989–90” (Form AB2) published in April 1989 by the Scottish Education Department, copies of which are obtainable from the Scottish Education Department, Awards Branch, Gyleview House, 3 Redheughs Rigg, South Gyle, Edinburgh EH12 9HH.
f6: S.I. 1986/594 (N.I.3).
f7: The Regulations in force at the date on which these Regulations were made were the Students Awards Regulations (Northern Ireland) 1988 (S.R. (N.I.) 1988 No. 445).