Scottish Statutory Instruments
2012 No. 303
Council Tax
The Council Tax Reduction (Scotland) Regulations 2012
Made 7th November 2012
Laid before the Scottish Parliament 9th November 2012
Coming into force 28th January 2013

The Scottish Ministers make the following Regulations in exercise of the powers in sections 80 and 113(1) and (2) of, and paragraph 1 of Schedule 2 to, the Local Government Finance Act 1992 and all other powers enabling them to do so.
Regulations revoked (except regs. 2 (in part), 37, 38, sch. 4 paras. 37, 38) (1.4.2022) by The Council Tax Reduction (Scotland) Regulations 2021 (S.S.I. 2021/249), reg. 1, sch. 6 (with regs. 2, 97-101)
1992 c.14. Section 80 was amended by paragraph 176 of Schedule 13 to the Local Government etc. (Scotland) Act 1994 (c.39). The functions of the Secretary of State were transferred to the Scottish Ministers by virtue of section 53 of the Scotland Act 1998 (c.46).

PART 1 General

Citation and commencement
1. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Interpretation
2. (1) ...
...
“the 1992 Act” means the Social Security Contributions and Benefits Act 1992 ;
...
“local authority” in Scotland means a council constituted by section 2 of the Local Government etc. (Scotland) Act 1994 ;
...
“self-employed earner” has the meaning given by section 2(1)(b) of the 1992 Act (categories of earners);
...
“voluntary organisation” means a body, other than a public or local authority, the activities of which are carried on otherwise than for profit;
...
1992 c.4.
1994 c.39. Section 2 was amended by paragraph 232(1) of Schedule 22 to the Environment Act 1995 (c.25).
(2) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
(3) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
(4) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
(5) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
(6) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
(7) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
(8) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
(9) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Non-dependants
3. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Young persons
4. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Occupation of a dwelling as a home
5. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Remunerative work
6. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

PART 2 Families

Entitlement of only one member of a family
7. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Couples: polygamous marriages
8. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Applicant in receipt of income-related benefit
9. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Responsibility for another person
10. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Membership of a household
11. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

PART 3 Application of the Regulations

Application
12. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Prescribed years
13. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

PART 4 Entitlement to council tax reduction

Conditions of entitlement to council tax reduction
14. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Conditions of entitlement to council tax reduction – dwellings in bands E to H
14A. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Persons not entitled to council tax reduction: absentees
15. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Persons not entitled to council tax reduction: persons treated as not being in Great Britain
16. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Persons treated as being in Great Britain
17. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Temporary absence from Great Britain
18. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Persons not entitled to council tax reduction: persons subject to immigration control
19. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Persons not entitled to council tax reduction: students
20. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Non-recovery of council tax arrears caused by official error
20A. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

PART 5 Applicable amount

Applicable amount
21. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Applicable amount: polygamous marriages.
22. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Transitional family premium
22A. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Applicable amount: persons who have an award of universal credit
23. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

PART 6 Income and capital

CHAPTER 1 General

Calculation of income and capital of members of applicant's family and of a polygamous marriage
24. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Circumstances in which capital and income of non-dependant is to be treated as applicant's
25. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

CHAPTER 2 Income and capital where there is an award of universal credit

Calculation of income and capital: persons who have an award of universal credit
26. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

CHAPTER 3 Income

Calculation of income on a weekly basis
27. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Treatment of child care charges
28. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Average weekly earnings of employed earners
29. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Average weekly earnings of self-employed earners
30. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Average weekly income other than earnings
31. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Calculation of average weekly income from ... tax credits
32. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Calculation of weekly income
33. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

CHAPTER 4 Employed earners

Earnings of employed earners
34. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Calculation of net earnings of employed earners
35. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

CHAPTER 5 Self-employed earners

Earnings of self-employed earners
36. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Calculation of net profit of self-employed earners
37. (1) For the purposes of regulation 30 (average weekly earnings of self-employed earners) the earnings of an applicant to be taken into account are—
(a) in the case of a self-employed earner who is engaged in employment on that earner's own account, the net profit derived from that employment;
(b) in the case of a self-employed earner whose employment is carried on in partnership or is that of a share fisherman within the meaning of the Social Security (Mariners' Benefits) Regulations 1975 , that earner's share of the net profit derived from that employment, less—
(i) an amount in respect of income tax and social security contributions payable under the 1992 Act calculated in accordance with regulation 38 (deduction of tax and contributions for self-employed earners); and
(ii) one-half of the amount calculated in accordance with paragraph (11) in respect of any qualifying premium.
S.I. 1975/529.
(2) Any sum, where applicable, specified in Schedule 3 is to be disregarded when calculating a self-employed earner's net profit.
(3) For the purposes of paragraph (1)(a) the net profit of the employment is, except where paragraph (9) applies, to be calculated by taking into account the earnings of the employment over the assessment period less—
(a) subject to paragraphs (5) to (8), any expenses wholly and exclusively incurred in that period for the purposes of that employment;
(b) an amount in respect of—
(i) income tax; and
(ii) social security contributions payable under the 1992 Act; and
(c) one-half of the amount calculated in accordance with paragraph (11) in respect of any qualifying premium.
(4) For the purposes of paragraph (1)(b) the net profit of the employment is to be calculated by taking into account the earnings of the employment over the assessment period less, subject to paragraphs (5) to (8), any expenses wholly and exclusively incurred in that period for the purposes of the employment.
(5) Subject to paragraph (6), no deduction is to be made under paragraph (3)(a) or (4), in respect of—
(a) any capital expenditure;
(b) the depreciation of any capital asset;
(c) any sum employed or intended to be employed in the setting up or expansion of the employment;
(d) any loss incurred before the beginning of the assessment period;
(e) the repayment of capital on any loan taken out for the purposes of the employment;
(f) any expenses incurred in providing business entertainment; or
(g) any debts, except bad debts proved to be bad, but this sub-paragraph does not apply to any expenses incurred in the recovery of a debt.
(6) A deduction is to be made under paragraph (3)(a) or (4) in respect of the repayment of capital on any loan used for—
(a) the replacement in the course of business of equipment or machinery; and
(b) the repair of an existing business asset except to the extent that any sum is payable under an insurance policy for its repair.
(7) The relevant authority is to refuse to make a deduction in respect of any expenses under paragraph (3)(a) or (4) where it is not satisfied given the nature and the amount of the expense that it has been reasonably incurred.
(8) For the avoidance of doubt—
(a) a deduction is not to be made under paragraph (3)(a) or (4) in respect of any sum unless it has been expended for the purposes of the employment;
(b) a deduction is to be made under paragraph (3)(a) or (4) in respect of—
(i) the excess of any value added tax paid over value added tax received in the assessment period;
(ii) any income expended in the repair of an existing business asset except to the extent that any sum is payable under an insurance policy for its repair; and
(iii) any payment of interest on a loan taken out for the purposes of the employment.
(9) Where an applicant is engaged in employment as a child minder the net profit of the employment is to be one-third of the earnings of that employment, less—
(a) an amount in respect of—
(i) income tax; and
(ii) social security contributions payable under the 1992 Act;
calculated in accordance with regulation 38 (deduction of tax and contributions of self-employed earners); and
(b) one-half of the amount calculated in accordance with paragraph (11) in respect of any qualifying premium.
(10) For the avoidance of doubt where an applicant is engaged in employment as a self-employed earner and is also engaged in one or more other employments as a self-employed or employed earner any loss incurred in any one of those employments is not to be offset against earnings in any other of the applicant's employments.
(11) The amount in respect of any qualifying premium is to be calculated by multiplying the daily amount of the qualifying premium by the number equal to the number of days in the assessment period, and for the purposes of this regulation the daily amount of the qualifying premium is to be determined—
(a) where the qualifying premium is payable monthly, by multiplying the amount of the qualifying premium by 12 and dividing the product by 365; and
(b) in any other case, by dividing the amount of the qualifying premium by the number equal to the number of days in the period to which the qualifying premium relates.
(12) In this regulation “qualifying premium” means any premium which is payable periodically in respect of a personal pension scheme and is payable on or after the date of the application.

Deduction of tax and contributions of self-employed earners
38. (1) The amount to be deducted in respect of income tax under regulation 37(1)(b)(i), (3)(b)(i) or (9)(a)(i) (calculation of net profit of self-employed earners) is to be calculated on the basis of the amount of chargeable income and as if that income was assessable to income tax at the basic rate of tax applicable to the assessment period less only the personal relief to which the applicant is entitled under section 35(1) of the Income Tax Act 2007 (personal allowance for those aged under 65) as is appropriate to the applicant's circumstances, but, if the assessment period is less than one year the earnings to which the basic rate of tax is to be applied and the amount of the personal reliefs deductible under this paragraph are to be calculated on a pro rata basis.
(2) The amount to be deducted in respect of social security contributions under regulation 37(1)(b)(i), (3)(b)(ii) or (9)(a)(ii) is the total of—
(a) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Reg. 38(2)(a) omitted (6.4.2024) by virtue of The Social Security (Class 2 National Insurance Contributions) (Consequential Amendments and Savings) Regulations 2024 (S.I. 2024/377), regs. 1(1), 8(18) (with reg. 1(4))
(b) the amount of Class 4 contributions (if any) which would be payable under section 15 of the 1992 Act (Class 4 contributions recoverable under the Income Tax Acts) at the percentage rate applicable to the assessment period on so much of the chargeable income as exceeds the lower limit but does not exceed the upper limit of profits and gains applicable for the tax year applicable to the assessment period, but if the assessment period is less than one year those limits are to be reduced pro rata.
Section 15 was amended by section 13 of the Limited Liability Partnerships Act 2000 (c.12), section 3(1) of the National Insurance Contributions Act 2002 (c.19), paragraph 420 of Schedule 1 and Schedule 3 to the Income Tax (Trading and Other Income) Act 2005 (c.5), section 2(1) of the National Insurance Contributions Act 2011 (c.3), and S.I. 2011/938 and 2012/807.
(3) In this regulation “chargeable income” means—
(a) except where sub-paragraph (b) applies, the earnings derived from the employment less any expenses deducted under regulation 37(3)(a) or, as the case may be, (4); and
(b) in the case of employment as a child minder, one-third of the earnings of that employment.

CHAPTER 6 Other income

Calculation of income other than earnings
39. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Capital treated as income
40. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Notional income
41. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

CHAPTER 7 Capital

Capital limit
42. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Calculation of capital
43. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Disregard of capital of child and young person
44. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Income treated as capital
45. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Calculation of capital in the United Kingdom
46. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Calculation of capital outside the United Kingdom
47. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Notional capital
48. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Diminishing notional capital
49. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Capital jointly held
50. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Calculation of tariff income from capital
51. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

PART 7 Students

CHAPTER 1 General

Interpretation: students
52. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Treatment of students
53. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

CHAPTER 2 Income

Calculation of grant income
54. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Calculation of covenant income where a contribution is assessed
55. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Covenant income where no grant income or no contribution is assessed
56. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Relationship with amounts to be disregarded under Schedule 4
57. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Other amounts to be disregarded
58. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Treatment of student loans
59. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Treatment of fee loans
60. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Treatment of payments from access funds
61. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Disregard of contribution
62. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Further disregard of student's income
63. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Income treated as capital
64. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Disregard of changes occurring during summer vacation
65. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

PART 8 Amount of reduction

Maximum council tax reduction
66. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Non-dependant deductions
67. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Extended council tax reduction
68. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Duration of period of entitlement to extended council tax reduction
69. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Amount of extended council tax reduction
70. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Extended council tax reduction: movers
71. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Relationship between council tax reduction and extended council tax reduction
72. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Extended council tax reduction (qualifying contributory benefits)
73. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Duration of extended council tax reduction (qualifying contributory benefits)
74. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Amount of extended council tax reduction (qualifying contributory benefits)
75. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Extended council tax reduction (qualifying contributory benefits): movers
76. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Relationship between council tax reduction and extended council tax reduction (qualifying contributory benefits)
77. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Alternative maximum council tax reduction
78. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Residents of a dwelling to whom regulation 14(6) does not apply
79. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

PART 9 Effective date

Date on which entitlement is to begin
80. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Date on which a change of circumstances is to take effect
81. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

PART 10 Applications

Who may apply
82. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Written applications
83. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Telephone applications
84. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Date on which an application is made
85. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Evidence and information
86. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Amendment of applications
87. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Withdrawal of applications
88. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

PART 11 Notification of changes of circumstances

Duty to notify changes of circumstances
89. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Alternative means of notifying changes of circumstances
90. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

PART 11A Reviews

Review of determination on an application
90A. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Request for further review
90B. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Panel to conduct further reviews
90C. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Conduct of further reviews
90D. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

PART 12 Electronic communications

Sending documents by electronic communication
91. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

PART 13 Consequential and transitional provisions

Transitional provision
92. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Savings provision
93. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Consequential amendments
94. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
JOHN SWINNEY
A member of the Scottish Government
St Andrew's House,
Edinburgh

SCHEDULE 1 Applicable amount
Regulations 21 and 22

PART 1 Personal Allowances
1. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
2. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
3. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

PART 2 Family Premium
4. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Sch. 1 Pt. 2 omitted (1.5.2016) by virtue of The Council Tax Reduction (Scotland) Amendment Regulations 2016 (S.S.I. 2016/81), regs. 1(3), 5(3) (with reg. 2)

PART 3 Disability premiums
5. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
6. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
7. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
8. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Disability premium
9. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Additional condition for the disability premium
10. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Severe disability premium
11. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Enhanced disability premium
12. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Disabled child premium
13. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Carer premium
14. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Persons in receipt of concessionary payments
15. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Persons in receipt of benefit for another
16. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

PART 4 Amounts of disability premiums
17. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

PART 5 Components

Components
18. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
19. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
20. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Work-related activity component
21. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Support component
22. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Amount of components
23. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
24. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

PART 6 Transitional addition
25. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
26. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
27. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Amount of transitional addition
28. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
29. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Interpretation of Part 6
30. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

SCHEDULE 2 Amount of alternative maximum council tax reduction
Regulation 78
1. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
2. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
3. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
4. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

SCHEDULE 3 Sums to be disregarded in the calculation of earnings
Regulations 35(2) and 37(2)
1. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
2. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
3. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
4. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
5. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
6. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
7. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
8. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
9. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
10. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
11. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
12. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
13. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
14. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
15. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
16. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
17. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
18. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
19. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

SCHEDULE 4 Sums to be disregarded in the calculation of income other than earnings
Regulation 39(2)
1. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
2. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
3. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
4. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
5. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
6. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
7. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
8. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
9. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
10. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
11. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
12. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
13. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
14. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
15. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
16. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
17. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
18. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
19. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
20. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
20A. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
21. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
22. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
23. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
24. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
25. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
26. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
27. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
28. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
29. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
30. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
31. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
32. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
33. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
34. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
35. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
36. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
37. A crisis payment made for the purpose of meeting an immediate short term need or a payment made for the purpose of meeting a need for community care—
(a) from a welfare fund;
Sch. 4 para. 37(a) substituted (1.4.2016) by The Council Tax Reduction (Scotland) Amendment Regulations 2016 (S.S.I. 2016/81), regs. 1(2), 4(5)
(aa) by a local authority in exercise of the power in section 20 of the Local Government in Scotland Act 2003 (power to advance well-being) and using funds provided by the Scottish Ministers,
Sch. 4 para. 37(aa) inserted (1.2.2021) by The Council Tax Reduction (Scotland) Amendment (No. 4) Regulations 2020 (S.S.I. 2020/413), regs. 1, 5(a)
(b) by a local authority in exercise of the power in section 1 of the Localism Act 2011 (local authority's general power of competence) and using funds provided by the Secretary of State, and in this sub-paragraph local authority means a local authority within the meaning of section 8 of that Act; or
2011 c.20.
(c) by, or on behalf of, the Welsh Ministers in exercise of the power in section 60 of the Government of Wales Act 2006 (promotion etc. of well-being).
2006 c.32.
38. Any payment under Part 10 of the 1992 Act (Christmas bonus for pensioners).
39. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
40. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
41. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
42. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
43. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
44. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
45. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
46. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
47. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
48. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
49. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
50. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
51. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
52. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
53. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
54. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
55. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
56. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
57. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
58. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
59. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
60. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
61. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
62. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
63. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
64. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
65. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
66. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
67. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
68. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
69. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
70. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
71. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

SCHEDULE 5 Capital to be disregarded
Regulation 43(2)
1. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
2. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
3. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
4. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
5. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
6. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
7. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
8. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
9. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
10. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
11. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
11A. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
12. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
13. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
14. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
15. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
16. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
17. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
18. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
19. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
20. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
21. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
22. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
23. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
24. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
25. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
26. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
27. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
28. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
29. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
30. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
31. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
32. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
33. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
34. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
35. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
36. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
37. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
38. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
39. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
40. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
41. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
42. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
43. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
44. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
45. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
46. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
47. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
48. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
49. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
50. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
51. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
52. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
53. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
54. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
55. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
56. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
57. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
58. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
59. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
60. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
61. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
62. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
63. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
64. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
65. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
66. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
67. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
68. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
69. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
70. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
71. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
72. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
73. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

74. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
75. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

SCHEDULE 6 Savings provisions
Regulation 93
1. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
2. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Interpretation
3. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

SCHEDULE 7 Consequential amendments
Regulation 94
1. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
2. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
3. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
4. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
5. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

(This note is not part of the Regulations)
These Regulations make provision for a reduction in liability for council tax (“council tax reduction”) for persons who have not reached the qualifying age for state pension credit and for persons who have reached that age and receive income support or income-based jobseeker's allowance. (Provision relating to a reduction in liability for council tax reduction for those who have reached the qualifying age for state pension credit and do not receive those benefits is contained in the Council Tax Reduction (State Pension Credit) (Scotland) Regulations 2012.)
Part 1 of the Regulations contains general provisions (regulations 2 to 6).
Part 2 deals with families. Regulation 7 provides that only one member of a family can be entitled to council tax reduction. Regulation 9 provides that where an applicant for council tax reduction is in receipt of an income related benefit the income and capital of all family members is to be treated as the income and capital of the applicant. Regulation 10 describes the situation were a person is to be treated as responsible for another person. Regulation 11 describes the situations where a person is to be treated as being a member of a household.
In Part 3, regulation 12 describes the persons to whom the Regulations apply and regulation 13 provides that the Regulations apply to the financial year commencing 1st April 2013 and each subsequent financial year.
In Part 4, regulation 14 describes the conditions of entitlement to council tax reduction and regulations 15 to 20 describe the categories of persons who are not entitled to council tax reduction. These are absentees from the dwelling (regulation 15), persons treated as not in Great Britain (regulations 16 to 18), persons subject to immigration control (regulation 19) and students (regulation 20).
Part 5 (regulations 21 to 23) and Schedule 1 provide for the calculation of the applicable amount, which is a sum representing the needs of the applicant and the applicant's family.
Part 6 has provision for the calculation of income and capital.
Chapter 1 provides for the income of persons other than the applicant to be treated as the applicant's (regulations 24 and 25). Chapter 2 deals with the calculation of income and capital for persons in receipt of universal credit (regulation 26). Chapter 3 sets out how income should be calculated for the purpose of calculating entitlement to council tax reduction (regulations 27 to 33). Chapter 4 deals with the income of employed earners (regulations 34 and 35) and chapter 5 with the income of self-employed earners (regulations 36 to 38). Schedule 3 sets out the sums to be disregarded when calculating earnings. Chapter 6 deals with other types of income; regulation 39 deals with income other than earnings, regulation 40 with capital to be treated as income and regulation 41 with notional income. Schedule 4 sets out the sums to be disregarded when calculating income other than earnings.
Chapter 7 has provision for the calculation of capital (regulations 42 to 51) and Schedule 5 describes capital that is to be disregarded.
Part 7 provides for the treatment of students. Chapter 1 has general provision for students (regulations 52 and 53) and chapter 2 deals with the calculation of the income of students (regulations 54 to 65).
Part 8 sets out the formula for calculating the maximum amount of council tax reduction to which a person is entitled (regulation 66). It also provides for an extended period of entitlement of up to 4 weeks in specified circumstances (regulations 68 to 77). Regulation 78 and Schedule 2 describe the situation where the alternative maximum council tax reduction applies.
Part 9 deals with when entitlement to council tax reduction begins and when a change in entitlement as a result of a change in circumstances take effect (regulations 80 and 81).
Part 10 deals with the application process. Regulation 82 describes who may apply and regulations 83 to 88 provide for other aspects of the process, including the form of applications and withdrawal of applications.
Part 11 provides for a duty to notify the relevant authority of a change of circumstances (regulations 89 and 90).
Part 12 allows for the sending of documents by electronic communication (regulation 91).
Part 13 contains transitional provision (regulation 92), savings provision (regulation 93 and Schedule 6) and consequential amendments (regulation 94 and Schedule 7).

Regs. 37, 38 applied (with modifications) (1.4.2022) by The Council Tax Reduction (Scotland) Regulations 2021 (S.S.I. 2021/249), regs. 1, 51(9) (with regs. 2, 3, 97-101)