I'm updating our IS calculator sheet in anticipation of the extension of CTC to all IS claimants from April.

Can I work on the assumption that all child-related premiums and income can be omitted (a la Pension Credit Guarantee Credit)?

Or will IS claimants with children who are waiting for a CB/CTC decision still be able to claim extra IS in lieu of CB/CTC pending the CB/CTC award?

I have heard that the migration of IS/JSA claimants onto CTC may not begin in April as originally planned, but may be put back a few months - whatever happens, AFAIK, it will take a few months for every claimant to be transferred over, and in the meantime, one would assume that they will continue to receive the child additions payable with IS/JSA.

in hansard on 12 feb they were suitably vague -

'the Paymaster General will make a statement shortly on our plans for bringing Income Support and Jobseeker's Allowance claimants with children into the Child Tax Credit.'

Spoke to a DM in our local Office this morning - he says that it is his understanding that:-

For those IS/JSA claimants with children who have not claimed CTC yet, they will continue to receive the appropriate applicable amount for those children included in their IS/JSA. In addition, these cases will continue to be paid in this way until a cut off date in October, when they expect these claimants will have then claimed CTC.

After the beginning of the new Benefits year new claimants with children who are not claiming CTC will not have an applicable amount for those children added to their Income Support, as the regulations then in force will not permit this. They will instead be advised (It is hoped!) to apply as soon as possible to IR for CTC.

Well, thats the theory -

Have also been updating calculation sheets and our benefits rate chart. Inland Revenue are not being very helpful with enquiries on this and even refusing to take questions on this (or any other issue) in their current renewals roadshow. Joined up government pah?

Am taking risk that explanatory letter being posted by DWP to claimants is correct... Any parents getting CTC at April will cease to have child allowances and premiums included, but will no longer have CTC or Child Benefit counted as income. During the year, those not yet on CTC will be notified by Inland Revenue of the start date of their automatic CTC claim and advised of need to open bank or Post Office card account. Local DWP office will also be notified and will cease to apply child personal allowances and premiums.

So have left child allowances and premiums on calculation sheet with footnote to effect that do not apply where CTC is in payment. Also added to Child Tax Credit to list of disregarded benefits, along with Child Benefit (if on CTC) and amended disregard of first £10.50 of Child Benefit for child under 1 to only apply if not on CTC.

Hope that covers it. Does that sound right? Guess we'll have to wait till next time to uncrowd the sheets.

Pensioner Premium and capital limitss
Also over-excitedly thought I could gain some space by omitting Pensioner Premium, BUT couple rate only still applies to Income Support if claimant under 60 and partner over 60.

Single rate still applies to Income-based JSA for men aged 60 to 65 who still want to sign on rather than relax on Pension Credit. Why would they want to? NI credits? But would't they get age related credits anyway?

Am I right in thinking the £6,000 and £12,000 capital limits still apply for over 60s on IS/JSA? Anyone with capital over £6,000 might well want to switch to Pension Credit.

See swapshop
Will post all calculation sheets (including infamous single sided WTC and CTC sheet) and Benefits Rate Chart on swapshop.Please let me know of any errors etc

This is what Dawn Primarolo said on 11 March:

Mr Andrew Rosindell


CON - ROMFORD


To ask Mr Chancellor of the Exchequer, what recent discussions he has had with officials from the Inland Revenue regarding the administration of tax credits. <158706>


DAWN PRIMAROLO
I have had regular discussions with Inland Revenue officials regarding the administration of Child Tax Credit and Working Tax Credit since 6th April 2003, including plans for the next stage of tax credits implementation.
The process of finalising tax credit awards for 2003/04, and renewing claims for 2004/05, begins in April. We also plan in 2004/05 to bring within Child Tax Credit (CTC) those families with children receiving support for them through income support or income-based jobseeker’s allowance (IS/JSA). The process of moving these families into Child Tax Credit will begin in April as planned. Families on IS/JSA already receiving CTC will start to receive support for their children solely through CTC. And new claimants of IS/JSA will no longer be awarded child allowances in those benefits and will receive CTC instead. The automatic phased transfer onto CTC of the remaining families with children within IS/JSA is planned to begin from October, subject to a final review in the summer. Meanwhile, families will continue to receive the same level of support through their benefits as they would from CTC.

A further correction to calculation sheets to do with dual system for parents on IS/JSA - maintenance disregards.

As well as £10 disregard for new rules child support, need to include full disregard of child maintenance for those on CTC.