LITRG has backed the Scottish Government’s call to make coronavirus self-isolation support payments free of income tax noting that, should the UK Government choose not to do so, it will need to provide clearer guidance to ensure claimants understand they may be asked to pay tax at a later date. LITRG is also seeking clarification from HMRC and the Department for Work and Pensions that the payments will be disregarded for the purposes of eligibility for tax credits and universal credit.
LITRG has backed the Scottish Government’s call to make coronavirus self-isolation support payments free of income tax noting that, should the UK Government choose not to do so, it will need to provide clearer guidance to ensure claimants understand they may be asked to pay tax at a later date. LITRG is also seeking clarification from HMRC and the Department for Work and Pensions that the payments will be disregarded for the purposes of eligibility for tax credits and universal credit.
