Pension/maintenance reducing tax credits?

starsteel

I hope you can help, because my question seems to be too complicated for Google.

As far as I'm aware, child maintenance payments are disregarded when it comes to calculating receipt of tax credits/housing allowance. However, if a child receives a dependent's allowance (until they come of age) as part of a deceased person's pension, would the dependent's allowance be calculated as part of the parent's income - or would it be disregarded for tax credit/housing allowance purposes?

TIA.

starsteel

If an NHS employee dies before the age of retirement, then there's a lump sum payment, a survivor's pension and a child allowance for any dependant children.

I have a close friend who was living with her parents at the time her father died. She has a young daughter who was accepted as one of her father's dependants at the time of his death. She's just started having the child allowance element of the pension paid into her daughter's savings account. She doesn't receive anything for herself.

I hope that helps and thank you for your reply!

starsteel

Thanks. The money's for the upkeep of the child and can be paid directly to my friend's daughter once she becomes 18. The pension company did ask for the child's bank details rather than the mother's. Hopefully it counts as the little girl's income, but I'll pass all this on so my friend can check.