× Members

One off capital payment - IS problem

More
13 years 5 months ago #28946 by shaunw
One off capital payment - IS problem was created by shaunw
Hi

Anyone got any suggestions?

I'm supporting a client on Income Support. He has recently received payment for a piece of art he produced for exhibit. IS advised us in April that this sum (£4k) could be treated as a one-off capital payment and would not affect his benefits.

However, IS are now insisting he fill out a B16/17 form for self-employment. They say the likely outcome is he will have to repay IS.

As this is contrary to guidance THEY gave me can anyone suggest a useful bit of case law? Should I just head to a benefits adviser?

any thoughts appreciated

Rob

Please Log in or Create an account to join the conversation.

  • ellie12022
13 years 5 months ago #28961 by ellie12022
Replied by ellie12022 on topic Re:One off capital payment - IS problem
I have checked with my OH who works for the DWP. He says unless your friend is registered as self employed the original advice stands. Anything under £16k can be treated as a one off, like selling your washing machine for example.

Hope this helps.

Please Log in or Create an account to join the conversation.

More
13 years 5 months ago #28964 by Steve Donnison
Replied by Steve Donnison on topic Re:One off capital payment - IS problem
Hi,

Definitely get advice from a welfare rights worker as it's a potentially very serious situation which could affect not just income support but other means-tested benefits too.

The alleged overpayment could reach back well before the actual receipt of money, to the point at which works first began to be produced which were subsequently offered for sale.

There is also the possibility of allegations of fraud if your client is deemed to have been producing works of art for the purpose of remuneration but has been claiming benefits as incapable of work.

I'm not suggesting that is what your client has been doing, but good advice is definitely needed, preferably before any further evidence is provided to the DWP.

Good luck,

Steve

Nothing on this board constitutes legal advice - always consult a professional about specific problems

Please Log in or Create an account to join the conversation.

More
13 years 5 months ago #29205 by shaunw
Replied by shaunw on topic Re:One off capital payment - IS problem
Thanks steve - I'll do this

Ellie - thanks, the advice I got originally from DWP was very similar to yours!!

All the best

Please Log in or Create an account to join the conversation.

Moderators: GordonGaryBISCatherineWendyKellygreekqueenpeterKatherineSuper UserjimmckChris
We use cookies

We use cookies on our website. Some of them are essential for the operation of the site, while others help us to improve this site and the user experience (tracking cookies). You can decide for yourself whether you want to allow cookies or not. Please note that if you reject them, you may not be able to use all the functionalities of the site.