Disability Element of Tax Credits - nobody knows anything?!

GraciousGregory · 14 June 2016 at 10:48AM

Hi,

I'm after some advice please on my situation .

I have a long term disability which affects my ability to work full time .

I'm currently on sick leave and have been receiving occupational sick pay on top of SSP for 150 days .

I've been reading the HMRC disability element guide TC956 and I think I qualify for the disability element of tax credits; to claim the disability element you must meet the 3 listed conditions :

1: You work 16 hours or more

2: You have a long term disability / health condition (one listed as being unable to sustain a full time working week).

3: You receive a qualifying benefit

One of the qualifying benefits listed is occupational sick pay - I have been receiving this on top of SSP for 150 days

My income has now reduced considerably as I'm now only receiving SSP.

However , I don't claim PIP (refused but going through appeal) . Every advisor I've spoken to at HMRC have said I don't qualify as I don't claim pip !

They are disputing their own worksheet .

I did manage to speak to a more knowledgeable person today but she said this is likely criteria applied to people who are OUT of work and going back to work .

But this can't be right as occupational sick pay is a qualifying benefit and is paid by the employer ?

Can anybody clarify please?

pmlindyloo · 14 June 2016 at 11:19AM

GraciousGregory wrote: »

Hi,

I'm after some advice please on my situation .

I have a long term disability which affects my ability to work full time .

I'm currently on sick leave and have been receiving occupational sick pay on top of SSP for 150 days .

I've been reading the HMRC disability element guide TC956 and I think I qualify for the disability element of tax credits; to claim the disability element you must meet the 3 listed conditions :

1: You work 16 hours or more

2: You have a long term disability / health condition (one listed as being unable to sustain a full time working week).

3: You receive a qualifying benefit

One of the qualifying benefits listed is occupational sick pay - I have been receiving this on top of SSP for 150 days

My income has now reduced considerably as I'm now only receiving SSP.

However , I don't claim PIP (refused but going through appeal) . Every advisor I've spoken to at HMRC have said I don't qualify as I don't claim pip !

They are disputing their own worksheet .

I did manage to speak to a more knowledgeable person today but she said this is likely criteria applied to people who are OUT of work and going back to work .

But this can't be right as occupational sick pay is a qualifying benefit and is paid by the employer ?

Can anybody clarify please?

This link might help:

https://www.gov.uk/government/uploads/system/uploads/attachment_data/file/509036/WTC2_02_16.pdf

Scroll down for information about the disability element.

If I am reading it correctly you have to have been receiving SSP for 28 weeks as part of that particular criteria.

GraciousGregory · 14 June 2016 at 1:27PM

Thank you for the link .

The 28 week rule applies to claiming working tax credit .

The disability element when receiving sick pay is for 20 weeks which I qualify under .

It's so confusing and complicated and even their own advisors can't clarify it . I think I'm ready to give up .

pmlindyloo · 14 June 2016 at 5:13PM

I'll keep trying!

Look at this link:

https://www.gov.uk/government/uploads/system/uploads/attachment_data/file/460516/TC956.pdf

Gives a bit more information about the SSP criteria. At the very least you can quote it!

GraciousGregory · 14 June 2016 at 7:52PM

Thankyou

That's the helpsheet I quoted to HMRC today and they said it only applies to people who are out of work ?...

Even though occupational sick pay is a qualifying benefit - surely this is paid by an existing employer !

Is it worth writing a complain outlining their criteria and sending evidence ?

With this and a PIP tribunal coming up I'm starting to lose the will to fight , but I need the money because I can't work in my full time position any more

Tolly_T · 14 June 2016 at 8:21PM

Hi, I don't have any experience of this myself but I found the information below on the entitledto website under "The ‘qualifying benefit’ test:". Sorry, I can't link to it because I'm a new user.

I take this to mean that you would claim this when you return to work, not while you're off sick. If you return to work and your gross income is significantly less than before your disability began and your disability is likely to last for 6 months or more then you have 8 weeks from your SSP ending to claim the disability element. Just my interpretation, no guarantee it's correct.

Condition E: the ‘Fast Track’ - This is known as the ‘Fast Track’ because it enables people who have been off sick to return to work without having to be either off sick for six months or be on DLA, etc

- you have a disability likely to last at least six months
and
- your gross earnings are less than they were before your disability began, by at least 20% or £15 a week, whichever is greater;
and
you had been getting, for at least 20 weeks - ending at any time in the last eight weeks before you claim: ...... SSP, occupational sick pay .....

GraciousGregory · 14 June 2016 at 9:10PM

That does make a lot of sense - I wonder if that's what the advisor meant rather than being out of work , it's when you return from sick leave .

My income is going to be reduced when I return as I'll only be working half my hours with half the pay so I should qualify then hopefully !

Thank you all for all your help

sheramber · 16 June 2016 at 10:00PM

I would suggest you post on the Benefits and Tax Credits board as there are people who know about tax credits who read that board and could probably answer your question.

Disability Element of Tax Credits - nobody knows anything?!

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