Tax Credits Act 2002 Schedule 3 paragraph 13

Debtors (Scotland) Act 1987

Schedule 3, paragraph 13 amends Scottish debt enforcement law to ensure that tax credits cannot be treated as earnings for the purposes of debt recovery through earnings arrestment.

• Amends section 73(3) of the Debtors (Scotland) Act 1987, which defines sums that do not count as earnings
• Inserts a new paragraph (da) into that section specifically covering tax credits
• Tax credits as defined by the Tax Credits Act 2002 are excluded from the definition of earnings
• This protects tax credit payments from being intercepted through Scottish earnings arrestment procedures