Part 1

Tax credits

Loss of tax credit provisions

Section 36A: supplementary
36B
1
Where—
a
the conviction of any person of any offence is taken in account for the purposes of the application of section 36A in relation to that person, and
b
that conviction is subsequently quashed,
all such payments and other adjustments shall be made as would be necessary if no restriction had been imposed by or under section 36A that could not have been imposed if the conviction had not taken place.
2
Where, after the agreement of any person (“P”) to pay a penalty under the appropriate penalty provision is taken into account for the purposes of the application of section 36A in relation to that person—
a
P's agreement to pay the penalty is withdrawn under subsection (5) of the appropriate penalty provision, or
b
it is decided on an appeal or in accordance with regulations under the Social Security Act 1992 or the Social Security (Northern Ireland) Order 1998 (
S.I.
1998/1506 (N.I. 10)) that the overpayment to which the agreement relates is not recoverable or due,
all such payments and other adjustments shall be made as would be necessary if no restriction had been imposed by or under section 36A that could not have been imposed if P had not agreed to pay the penalty.
3
Where, after the agreement (“
the old agreement
”) of any person (“P”) to pay a penalty under the appropriate penalty provision is taken into account for the purposes of the application of section 36A in relation to P, the amount of any overpayment made to which the penalty relates is revised on an appeal or in accordance with regulations under the Social Security Act 1998 or the Social Security (Northern Ireland) Order 1998—
a
section 36A shall cease to apply by virtue of the old agreement, and
b
subsection (4) shall apply.
4
Where this subsection applies—
a
if there is a new disqualifying event consisting of—
i
P's agreement to pay a penalty under the appropriate penalty regime in relation to the revised overpayment, or
ii
P being cautioned in relation to the offence to which the old agreement relates,
the disqualification period relating to the new disqualifying event shall be reduced by the number of days in so much of the disqualification period relating to the old agreement as had expired when subsection 36A ceased to apply by virtue of the old agreement, and
b
in any other case, all such payments and other adjustments shall be made as would be necessary if no restriction had been imposed by or under section 36A that could not have been imposed if P had not agreed to pay the penalty.
5
For the purposes of section 36A—
a
the date of a person's conviction in any proceedings of a benefit offence shall be taken to be the date on which the person was found guilty of that offence in those proceedings (whenever the person was sentenced) or in the case mentioned in paragraph (b)(ii) the date of the order for absolute discharge, and
b
references to a conviction include references to—
i
a conviction in relation to which the court makes an order for absolute or conditional discharge,
ii
an order for absolute discharge made by a court of summary jurisdiction in Scotland under section 246(3) of the Criminal Procedure (Scotland) Act 1995 without proceeding to a conviction, and
iii
a conviction in Northern Ireland.
6
In this section “
the appropriate penalty provision
” has the meaning given by section 36A(2)(a).
Pt. 1 modified (6.4.2003) by The Tax Credits (Immigration) Regulations 2003 (S.I. 2003/653), regs. 1, 4 (as amended (6.4.2003 immediately after the coming into force of S.I. 2003/738) by S.I. 2003/742, regs. 1(1), 56 (with reg. 1(2))
Pt. 1 modified (6.4.2003 immediately after the coming into force of S.I. 2003/738) by The Tax Credits (Polygamous Marriages) Regulations 2003 (S.I. 2003/742), regs. 1(1), 3-21 (as amended (6.4.2017) by S.I. 2017/387, regs. 1, 7)
Ss. 36A-36D and cross-heading inserted (1.2.2013 for specified purposes, otherwise 6.4.2013) by Welfare Reform Act 2012 (c. 5), ss. 120(2), 150(3); S.I. 2013/178, art. 2
Pt. 1 repealed (1.2.2019 with savings in relation to specified cases in art. 3 of the commencing S.I.) by Welfare Reform Act 2012 (c. 5), s. 150(3), Sch. 14 Pt. 1; S.I. 2019/167, arts. 2, 3