UUÂãÁÄÖ±²¥

Universal credit

Produced by a Tolley Personal Tax expert
Personal Tax
Guidance

Universal credit

Produced by a Tolley Personal Tax expert
Personal Tax
Guidance
imgtext

This guidance note covers the scope of universal credit, who can claim, advance payments, sanctions and claim procedures.

Universal credit is a non-taxable state benefit that is administered by the Department of Work and Pensions (DWP) and is available throughout the UK. It is available to individuals on low incomes whether they are in work, unemployed or self-employed. It is designed as a replacement for several ‘legacy benefits’, primarily tax credits. Individuals can no longer make a new claim for tax credits. Individuals seeking to make new claims and reporting changes in circumstances, are now directed to making a new claim for universal credit.

It is intended that by March 2025 at the latest, all claimants currently receiving the legacy benefits, with the exception of income-related employment and support allowance (ESA), will be automatically transferred to universal credit. In the interim the natural migration to universal credit will continue through new claims and changes in the circumstances of claimants. The government decided to delay the move of ESA claimants until 2028 and there will therefore be a lull in migration

Access this article and thousands of others like it
free for 7 days with a trial of Tolley+™ Guidance.

Powered by
  • 09 Sep 2024 15:32

Popular Articles

Payment of tax due under self assessment

Payment of tax due under self assessmentNormal due dateIndividuals are usually required to pay any outstanding income tax, Class 2 and Class 4 national insurance, and capital gains tax due for the tax year by 31 January following the end of the tax year (ie 31 January 2025 for the 2023/24 tax year).

14 Jul 2020 12:52 | Produced by Tolley Read more Read more

BPR ― trading and investment businesses

BPR ― trading and investment businessesIntroductionThe basic qualification rules for business property relief (BPR) are illustrated in the Flowchart ― trading or investment business for BPR purposes.For an overview of BPR, see the BPR overview guidance note.Relevant business propertyThe main

14 Jul 2020 15:36 | Produced by Tolley Read more Read more

Real estate investment trusts (REITs)

Real estate investment trusts (REITs)Introduction to REITsA real estate investment trust (REIT) is in fact not a trust at all, it is a company which qualifies for special tax treatment under CTA 2010, Part 12. REITs are similar in many ways to collective fund vehicles (such as unit trusts) in that

14 Jul 2020 13:04 | Produced by Tolley in association with Rob Durrant-Walker of Crane Dale Tax Read more Read more