I have a client, who has made a small loss this year and wishes to cease trading, and due to drop in sales etc he has been getting housing benefit and job seekers allowance over the last tax year, does this income need to go on his self assessment, as the combined income is more than personal allowance ? Even adding the loss made to his income he is still over the pa.
Job seeker's allowance is taxable income and so will need to be shown on your client's tax return; housing benefit is a non-taxable benefit. You can find a summary of what income is and isn't taxable here.
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Pearce & Co - Chartered Accountant and Chartered Tax Adviser
