ESA and Working Tax Credits
Options
JonnycJonny
Scope Member Posts: 107 Courageous
Can anyone explain the impact of ESA ( Old style ) on working tax credits - I get the severe disability premium ? Thank you
Comments
-
Income based ESA is ignored as income for Tax Credits. If any of your ESA is contribution based that part is taxable income which therefore counts as income for Tax Credits.Information I post is for England unless otherwise stated. Rules may be different in other parts of UK.
-
ESA would be contribution based - how long could I continue to receive WTC ?
-
If you are receiving (old style) contribution based ESA this must have been for a number of years and you are therefore clearly not working enough to meet the qualifying conditions for WTC on your own. Presumably therefore you have a partner and have a joint WTC award. As long as you jointly continue to meet the conditions for WTC you can continue to receive it but, as advised earlier, you need to include the contribution based ESA income in your calculation of your income for the year.
Eventually you will be told that your WTC will end and you will be invited to claim UC.
However, at least some of your ESA is income based because the SDP is an income based premium. An old ESA award can be a mix of contribution based and income based.Information I post is for England unless otherwise stated. Rules may be different in other parts of UK. -
Yes I have a joint award.
Thank you for the useful info.
Best wishes -
JonnycJonny said:Yes I have a joint award.
Thank you for the useful info.
Best wishes
If it is partly contribution based I think you should get P60 from DWP each year confirming the taxable amount received (but I'm not sure about that)..Information I post is for England unless otherwise stated. Rules may be different in other parts of UK.
Brightness
Categories
- All Categories
- 13K Start here and say hello!
- 6.6K Coffee lounge
- 103 Games lounge
- 416 Cost of living
- 4.3K Disability rights and campaigning
- 1.9K Research and opportunities
- 199 Community updates
- 9.3K Talk about your situation
- 2.1K Children, parents, and families
- 1.6K Work and employment
- 776 Education
- 1.7K Housing and independent living
- 1.4K Aids, adaptations, and equipment
- 615 Dating, sex, and relationships
- 363 Exercise and accessible facilities
- 737 Transport and travel
- 31.5K Talk about money
- 4.3K Benefits and financial support
- 5.2K Employment and Support Allowance (ESA)
- 17K PIP, DLA, and AA
- 4.9K Universal Credit (UC)
- 6.3K Talk about your impairment
- 1.8K Cerebral palsy
- 868 Chronic pain and pain management
- 180 Physical and neurological impairments
- 1.1K Autism and neurodiversity
- 1.2K Mental health and wellbeing
- 319 Sensory impairments
- 824 Rare, invisible, and undiagnosed conditions
Do you need advice on your energy costs?
Scope’s Disability Energy Support service is open to any disabled household in England or Wales in which one or more disabled people live. You can get free advice from an expert adviser on managing energy debt, switching tariffs, contacting your supplier and more. Find out more information by visiting our
Disability Energy Support webpage.