PART 2A qualifying child of working parents
CHAPTER 2Conditions relating to a parent, and any partner of the parent, of the child
Calculation of expected income6
1
An employed person’s expected income comprises the amount of earnings the person expects to receive from—
a
any employment under a contract of service; and
b
any office, including an elected office.
2
In paragraph (1), “earnings” has the meaning given by section 62 of the Income Tax (Earnings and Pensions) Act 200316.
3
A self-employed person’s expected income comprises—
a
the amount of receipts the person expects to derive from a trade, profession or vocation less the amount of expenses the person expects to incur wholly and exclusively for the purposes of the trade, profession or vocation; or
b
if the person carries on a trade, profession or vocation in a business partnership, the share expected to be allocated to the person of the partnership’s receipts less the share expected to be allocated to that person of the partnership’s expenses incurred wholly and exclusively for the purposes of the trade, profession or vocation.
4
In calculating a self-employed person’s income, receipts and expenses of a capital nature are to be disregarded.
5
A person’s expected income may include income from a person’s employment and self-employment taken together.
6
For the purposes of paragraph (5) a person may not rely on the condition in regulation 5(1)(b)(ii).