UC, Work iPad and income

Hello,

Client started work on 03 Dec.
Employer reported earnings which included £150 deducted from his wages for a work iPad.
This £150 deduction has been taken into account as wages by HMRC/UC.

We provided bank statements showing client earned £441 as wages in the relevant assessment period.
UC insists he earned £591. He has lost £94 due to earnings deduction.

I’m struggling to wrap my head around this and at a complete loss where to begin.

Advice/suggestions?

An accountant could sort this one out because it requires familiarity with IETPA*.  But as a layperson looking at it without much prior knowledge my starting point would be:

- Reg 55(3) of the UC Regs says that expenses allowable under Chapter 2 of Part 5 of IETPA are deducted from earnings for UC purposes
- in the IETPA itself, s333(1)(b) [which is in the right Chapter of the right Part] covers an expense which “is paid on the person’s behalf by someone else and is included in the earnings.”  Seems to apply here

*Income Tax (Earnings and Pensions) Act 2003

You might find the link below useful.

https://www.gov.uk/hmrc-internal-manuals/employment-income-manual/eim32400

Thank you both! 😊