Advice Need JSA

Josef_k

Hi,

I'm on Income based Job Seekers Allowance.

After not much luck finding work in this country I got a job offer from overseas, in the far east. I'm quite eager to go and it starts at the end of March.

To go I need a few things, a year long return air ticket, money for an apartment for the first month, clothing and stuff, a fast track passport ect, and money in case things go wrong. About £2000 would be good.

Fortunately I have this money. I have several quite valuable camera lenses I bought way back in the 1990's and by selling them and other stuff, I reckon I could easily raise about £1,500 from Ebay.

As far as I know selling property you have owned since the 90's is not income, it's not eligible for income tax. However someone told me if I do this they will stop my Jobseeker's Allowance which would make selling them pointless as the loss of benefit would offset the sale money and I couldn't take the job anyway.

I was wondering if anyone had any ideas about this?

JassV

I think your JSA may be affected as initially you had to state how much you have in your savings. If all of a sudden you've got a substantial amount in your bank account the JSA may be affected. They would want you to let them know on this as your circumstances have changed. Regarding tax, I would say its not eligible either but I am not 100% sure either. Maybe someone else can confirm this.
Thanks,
Jass

HappyMJ

You can sell your own used stuff without paying tax on it and the money will not affect your benefits. You can declare the source of the money if DWP ever investigate. Keep the Ebay records safe for them.

BigAunty

How little equity have you got from your property over the last 20 or so years that you feel the loss of £71 a week JSA is detrimental? Surely your mortgage is nearly paid off by now?

A means tested claimant can have 6k capital before it starts reducing their benefits while 16k capital rules it out. So selling those lenses shouldn't be a problem unless you have high savings now (which doesn't sound like the case if you can't afford a plane ticket).

Personal property that is owned/occupied is not subject to capital gains tax or affects receipts of benefits.

It's going to take you a few months to sell the property isn't it? So you probably won't realise the capital from it until you are overseas?

sammyjammy

BigAunty wrote: »

How little equity have you got from your property over the last 20 or so years that you feel the loss of £71 a week JSA is detrimental? Surely your mortgage is nearly paid off by now?

A means tested claimant can have 6k capital before it starts reducing their benefits while 16k capital rules it out. So selling those lenses shouldn't be a problem unless you have high savings now (which doesn't sound like the case if you can't afford a plane ticket).

Personal property that is owned/occupied is not subject to capital gains tax or affects receipts of benefits.

It's going to take you a few months to sell the property isn't it? So you probably won't realise the capital from it until you are overseas?

I think the OP is referring to his property as his belongings rather than a house/flat.

rogerblack

HappyMJ wrote: »

You can sell your own used stuff without paying tax on it and the money will not affect your benefits.

The resulting money is not income for benefits purposes - however, it is capital.
This capital would not usually be disregarded.
If in the OPs case, it is less than 6K household savings, it would be ignored.