Regulation 103 Deduction in respect of tax for participants in the self-employment route

England, Wales and Scotland

(1)

The amount to be deducted in respect of income tax under regulation 102(1)(a) (calculation of income of participants in the self-employment route) in respect of the period determined under regulation 102(2) is to be calculated as if—

(a)

the chargeable income is the only income chargeable to tax;

F1(b)

the personal reliefs applicable to the person receiving assistance under the self-employment route under Chapters 2, 3 and 3A of Part 3 of the Income Tax Act 2007 are allowable against that income;

(c)

the rate at which the chargeable income less the F2personal reliefs is assessable to income tax is the F3... basic rateF4, or in the case of a Scottish taxpayer, the Scottish basic rate, of tax.

(2)

For the purpose of paragraph (1), the F5basic rate, or the Scottish basic rate, of tax to be applied and the amount of personal reliefs deductible are, where the period determined under regulation 102(2) is less than a year, to be calculated on a pro rata basis.

(3)

In this regulation, “chargeable income” means the monies in the special account at the end of the last day upon which assistance was received under the self-employment route.

Annotations

Textual amendments

F1: Reg. 103(1)(b) substituted (6.4.2016) by The Social Security (Scottish Rate of Income Tax etc.) (Amendment) Regulations 2016 (S.I. 2016/233), regs. 1, 6(4)(a)
F2: Words in reg. 103(1)(c) substituted (6.4.2016) by The Social Security (Scottish Rate of Income Tax etc.) (Amendment) Regulations 2016 (S.I. 2016/233), regs. 1, 6(4)(b)(i)
F3: Words in reg. 103(1)(c) omitted (27.10.2008) by virtue of The Employment and Support Allowance (Miscellaneous Amendments) Regulations 2008 (S.I. 2008/2428), regs. 1(2), 8(4)(a)
F4: Words in reg. 103(1)(c) inserted (6.4.2016) by The Social Security (Scottish Rate of Income Tax etc.) (Amendment) Regulations 2016 (S.I. 2016/233), regs. 1, 6(4)(b)(ii)
F5: Words in reg. 103(2) substituted (6.4.2016) by The Social Security (Scottish Rate of Income Tax etc.) (Amendment) Regulations 2016 (S.I. 2016/233), regs. 1, 6(4)(c)

Notes on the whole SI

Textual amendments

F1: Section 3(3) is cited for the power to prescribe a payment under paragraph (b) of the definition of “pension payment”.
F2: Section 22 is cited insofar as it relates to paragraphs 1 to 3, 6, 7, 8(1), 9 and 10 of Schedule 2.
F3: Section 24(1) is cited for the definition of “employment” and “employed”, “period of limited capability for work”, “prescribed”, “regulations” and “week”.
F4: Paragraph 6(5) of Schedule 1 is cited for the definition of “couple”, “education” and “remunerative work”.
F5: 2007 c. 5.
F6: 1992 c. 5.
F7: 1998 c. 14.