Regulations may provide that a person's capital shall be deemed to yield him income at a prescribed rate.

Income and capital shall be calculated or estimated in such manner as may be prescribed.

A person's income in respect of any period shall be calculated in accordance with prescribed rules.

The rules may provide for the calculation to be made by reference to an average over a period (which need not consist of or include the whole or any part of the period concerned).

In this section—

• “overseas arrangement” has the meaning given by section 176(1) of the Pension Schemes Act;

• “retirement annuity contract” means a contract or scheme approved under Chapter III of Part XIV of the Income and Corporation Taxes Act 1988 (c. 1).

In this Act—

• “the 1998 Order” means the Social Security (Northern Ireland) Order 1998 (NI 10);

• “the Administration Act” means the Social Security Administration (Northern Ireland) Act 1992 (c. 8);

• “appropriate minimum guarantee” shall be construed in accordance with section 2(3);

• “assessed income period” shall be construed in accordance with sections 6 and 9;

• “capital” shall be construed in accordance with section 15;

• “claimant” means a claimant for state pension credit;

• “the Contributions and Benefits Act” means the Social Security Contributions and Benefits (Northern Ireland) Act 1992 (c. 7);

• F8“couple” means—

  1. a

     two people who are married to, or civil partners of, each other and are members of the same household, or

  2. b

     two people who are not married to, or civil partners of, each other but are living together as if spouses of each other otherwise than in prescribed circumstances;

• “the Department” means the Department for Social Development;

• “earnings” has the same meaning as in Parts I to V of the Contributions and Benefits Act (see sections 3(1) and 112, and the definition of “employment” in section 121(1), of that Act);

• “element”, in relation to the claimant's retirement provision, shall be construed in accordance with section 7(6);

• “entitled”, in relation to state pension credit, shall be construed in accordance with—

  1. a

     this Act;

  2. b

     section 1 of the Administration Act (entitlement to benefit dependent on claim); and

  3. c

     Article 27 of the 1998 Order (restrictions on entitlement to benefit in certain cases of error),

  (and, in relation to any other benefit within the meaning of section 1 of the Administration Act or Article 27 of the 1998 Order, in accordance with that section or that Article or (as the case may be) both that section and that Article in addition to any other conditions relating to that benefit);

• “foreign social security benefit” means any benefit, allowance or other payment which is paid under the law of a country outside the United Kingdom and is in the nature of social security;

• “foreign war disablement pension” means any retired pay, pension, allowance or similar payment granted by the government of a country outside the United Kingdom—

  1. a

     in respect of disablement arising from forces' service or war injury; or

  2. b

     corresponding in nature to any retired pay or pension to whichF4 section 641 of the Income Tax (Earnings and Pensions) Act 2003 applies;

• “foreign war widow's or widower's pension” means any pension, allowance or similar payment granted to aF3 widow, widower or surviving civil partner by the government of a country outside the United Kingdom—

  1. a

     in respect of a death due to forces' service or war injury; or

  2. b

     corresponding in nature to a pension or allowance for aF3 widow, widower or surviving civil partner under any scheme mentioned inF4 section 641(1)(e) or (f) of the Income Tax (Earnings and Pensions) Act 2003;

• “guarantee credit” shall be construed in accordance with sections 1 and 2;

• “income” shall be construed in accordance with section 15;

• Definition rep. by 2004 c. 33

• “occupational pension scheme” has the meaning given by section 1 of the Pension Schemes Act;

• “pensionable age” has the meaning given by the rules in paragraph 1 of Schedule 2 to the Pensions (Northern Ireland) Order 1995 (NI 22) (equalisation of pensionable ages for men and women);

• “the Pension Schemes Act” means the Pension Schemes (Northern Ireland) Act 1993 (c. 49);

• “personal pension scheme” means a personal pension scheme—

  1. a

     as defined in section 1 of the Pension Schemes Act; or

  2. b

     as defined in section 1 of the Pension Schemes Act 1993 (c. 48);

• F5“PPF periodic payments” means—

  1. a

     any periodic compensation payments made in relation to a person, payable under the pension compensation provisions as specified in Article 146(2) of the Pensions (Northern Ireland) Order 2005 or section 162(2) of the Pensions Act 2004 (the pension compensation provisions); or

  2. b

     any periodic payments made in relation to a person, payable under Article 150 of the Pensions (Northern Ireland) Order 2005 or section 166 of the Pensions Act 2004 (duty to pay scheme benefits unpaid at assessment date etc.);

• “prescribed” means specified in, or determined in accordance with, regulations;

• “the qualifying age” has the meaning given by section 1(6);

• “regulations” means regulations made by the Department;

• “retirement pension income” shall be construed in accordance with section 16;

• “retirement provision” shall be construed in accordance with section 7(6);

• “savings credit” shall be construed in accordance with sections 1 and 3;

• “social security benefits” means benefits payable under the enactments relating to social security in any part of the United Kingdom;

• “standard minimum guarantee” shall be construed in accordance with section 2(3) to (5) and (9);

• “statutory provision” has the meaning assigned to it by section 1(f) of the Interpretation Act (Northern Ireland) 1954 (c. 33);

• Definition rep. by 2004 c. 33

• “war disablement pension” means—

  1. a

     any retired pay, pension or allowance granted in respect of disablement under powers conferred by or under—

     1. i

        the Air Force (Constitution) Act 1917 (c. 51);

     2. ii

        the Personal Injuries (Emergency Provisions) Act 1939 (c. 82);

     3. iii

        the Pensions (Navy, Army, Air Force and Mercantile Marine) Act 1939 (c. 83);

     4. iv

        the Polish Resettlement Act 1947 (c. 19); or

     5. v

        Part VII or section 151 of the Reserve Forces Act 1980 (c. 9); or

  2. b

     without prejudice to paragraph (a), any retired pay or pension to whichF4 any of paragraphs (a) to (f) of section 641(1) of the Income Tax (Earnings and Pensions) Act 2003 applies;

• “war widow's or widower's pension” means—

  1. a

     F3any widow's, widower's or surviving civil partner's pension or allowance granted in respect of a death due to service or war injury and payable by virtue of any enactment mentioned in paragraph (a) of the definition of “war disablement pension”; or

  2. b

     a pension or allowance for aF3 widow, widower or surviving civil partner granted under any scheme mentioned inF4 section 641(1)(e) or (f) of the Income Tax (Earnings and Pensions) Act 2003;

• “working tax credit” means a working tax credit under the Tax Credits Act 2002 (c. 21) to which a person is entitled whether alone or jointly with another.

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