Regulation 6 Determination of circumstances where family credit replaces, or arises out of a claim for, family income supplement

(1)

Subject to paragraphs (2) and (3), in a case to which regulation 3(2) or (3) applies (family credit treated as claimed on 11th April 1988 where family income supplement awarded or claimed), the provisions of F1sections 20(5) and 22(6) of the Act (conditions of entitlement to family credit) shall be modified to the extent that entitlement to family credit shall be determined upon the assumption that the circumstances of the family (but not the ages of its members except where a young person attains the age of 19 on or before 11th April 1988) are the same on 11th April 1988 as they were at the date of the claim for family income supplement.

(2)

In a case to which regulation 3(2) or (3) applies, the weekly earnings of the claimant and, if he is a member of a married or unmarried couple, those of the other member shall be calculated by deducting from the weekly earnings as calculated for the purpose of assessing entitlement to family income supplement —

(a)

an amount in respect of income tax equivalent to an amount calculated by applying the basic rate of tax for the tax year 1987/88 to those earnings, less only the personal relief, appropriate to a week, to which the claimant is entitled under sections 8(1) and (2) and 14(1)(a) and (2) of the Income and Corporation Taxes Act 1970 M1 (personal and additional relief); and

(b)

an amount in respect of primary Class 1 contributions under the Social Security Act 1975 M2 equivalent to an amount calculated by applying the appropriate percentage rate specified in section 4(6B) of that Act in respect of the tax year 1987/88 to those earnings.

(3)

In a case to which regulation 3(2) or (3) applies the weekly income of a claimant and, if he is a member of a married or unmarried couple, that of the other member of the couple, other than earnings to which paragraph (2) applies, shall be calculated by deducting from the gross weekly income as calculated for the purpose of assessing entitlement to family income supplement the sums, where applicable, specified in Schedule 2 to the Family Credit (General) Regulations 1987 M3 (income other than earnings to be disregarded).

Annotations

Textual amendments

F1: Words in reg. 6(1) substituted (20.2.1988) by S.I. 1988.239, reg. 1, 2

Marginal citations

M1: 1970 c. 10; section 8(1) was amended by the Finance Act 1971 (c. 68) section 37, Schedule 6 paragraphs 1 and 5, and by the Finance Act 1985 (c. 54) section 36; subsection (1A) was added by the Finance (No.2) Act 1975 (c. 45) section 31 and amended by the Finance Act 1977 (c. 36) section 22. Subsection (1B) was added by the Finance (No.2) Act 1975, section 31. Section 8(2) was amended by the Finance Act 1971 section 37, Schedule 6 paragraphs 1 and 5 and by article 2 of S.I. 1985/430; sub-paragraph (b) was substituted by the Finance (No.2) Act 1979 (c. 47) section 12, Schedule 2 paragraph 1; sub-paragraphs (b)(i) and (ii) were amended by the Finance Act 1981 (c. 35), section 139, Schedule 19 Part VI and the Finance Act 1982 (c. 39) section 157, Schedule 22 Part IV; sub-paragraph (b)(iii) was added by the Finance Act 1981 section 27 and sub-paragraph (b)(iv) by the Finance Act 1987 (c. 16) section 27. Section 14(1) was amended by the Finance Act 1970 (c. 24) section 14, Schedule 8 Part VI; section 14(2) was amended by the Finance Act 1976 (c. 40) section 36, the Finance (No.2) Act 1979, section 11, Schedule 1 paragraph 2 and the Finance Act 1980 (c. 48) section 24.
M2: See sections 1 and 4 of the Social Security Act 1975 (c. 14); section 1 was amended by section 40 of the Employment Protection Act 1975 (c. 71), section 24 of, and Schedule 2 to, the Social Security (Miscellaneous Provisions) Act 1977 (c. 5), section 2 of the Social Security (Contributions) Act 1982 (c. 2), section 29 of, and paragraph 5 of Schedule 5 to, the Social Security Act 1985 (c. 53), section 86 of, and Schedule 11 to, the Social Security Act 1986 (c. 50) and S.I. 1987/48; section 4 was amended by paragraph 36 of Schedule 4 to the Social Security Pensions Act 1975 (c. 60), section 2(4) of the Education (School-Leaving Dates) Act 1976 (c. 5), section 14(1) of the Social Security Act 1979 (c. 18), Schedule 5 of the Social Security and Housing Benefits Act 1982 (c. 24), sections 7(1) and (2) and 8(1) of the Social Security Act 1985, sections 74(1)(a) and (2) and 86 of, and paragraph 104 of Schedule 10 to, the Social Security Act 1986 and S.I. 1986/25 and 1987/46.
M3: S.I. 1987/1973.