Other income above £300

Other income above £300

The first £300 of income from these sources is ignored when tax credits are calculated.

If your 'other income' is less than £300 a year you should not enter anything. If your 'other income' equals more than £300 a year, deduct £300 from the total sum and enter this. If you have a partner you will make a joint claim, and there is only one £300 allowance for both of you.

Include:

  • income from property and shares (unless rented out under the Share-a-Room scheme)
  • income from occupational and other private pensions
  • income from the state Retirement Pension (including the basic state pension, State Earnings-Related Pensions (SERPS) and Graduated pension/retirement benefit, but excluding the Christmas Bonus and Winter Fuel payment)
  • interest and dividends on savings and investments (except tax-exempt savings plans such as ISAs, PEPs and non-taxable National Savings products)
  • foreign income (including overseas pensions and social security benefits)
  • any shares purchased from an employer under a Share Incentive Plan
  • Dependant’s Grant paid to students with a spouse or unmarried partner or dependant adult

Exclude:

  • Income from Individual Savings Account or a Personal Equity Plan (including interest, dividends or other gains on such plans)
  • Income from child maintenance payments
  • Student loans and grants made to cover the cost of tuition fees, childcare and the Parent’s Learning Allowance
  • bursaries paid under the NHS Bursary Scheme
  • children's income
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