Tax Credits Act 2002 Schedule 5 para 13

Amendment to Finance Act 1997 section 110(5A)

Schedule 5 paragraph 13 updates a cross-reference in the Finance Act 1997 to reflect the replacement of the Tax Credits Act 1999 with the Tax Credits Act 2002, and broadens the purposes for which social security information may be shared with the Inland Revenue.

• Amends section 110(5A) of the Finance Act 1997, which governs the sharing of information between social security authorities and the Inland Revenue/Customs and Excise.
• Replaces the outdated reference to paragraph 3 of Schedule 5 to the Tax Credits Act 1999 with a reference to paragraph 6 of Schedule 5 to the Tax Credits Act 2002.
• Expands the scope of information sharing: under the old provision, information could be supplied to the Inland Revenue only for tax credit purposes; under the new provision, it may also be supplied for child benefit or guardian's allowance purposes.
• This is a consequential amendment ensuring that the Finance Act 1997 remains consistent with the new tax credits legislation introduced by the Tax Credits Act 2002.