Part 1

Tax credits

Loss of tax credit provisions

Section 36C: supplementary
36D
1
Where—
a
the conviction of any person of any offence is taken into account for the purposes of the application of section 36C 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 36C that could not have been imposed if the conviction had not taken place.
2
Subsection (3) applies 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 36C in relation to that person—
a
P's agreement to pay the penalty is withdrawn under subsection (5) of the appropriate penalty provision,
b
it is decided on an appeal or in accordance with regulations under the Social Security Act 1998 or the Social Security (Northern Ireland) Order 1998 (
S.I.
1998/1506 (N.I. 10)) that any overpayment made to which the agreement relates is not recoverable or due, or
c
the amount of any over payment 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 and there is no new agreement by P to pay a penalty under the appropriate penalty provision in relation to the revised overpayment.
3
In those circumstances, all such payments and other adjustments shall be made as would be necessary if no restriction had been imposed by or under section 36C that could not have been imposed if P had not agreed to pay the penalty.
4
For the purposes of section 36C—
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.
5
In section 36C references to any previous application of that section—
a
include references to any previous application of a provision having an effect in Northern Ireland corresponding to provision made by that section, but
b
do not include references to any previous application of that section the effect of which was to impose a restriction for a period comprised in the same disqualification period.
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