Author Topic: Which benefits are taxable  (Read 433 times)

Fiz

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Which benefits are taxable
« on: January 24, 2017, 05:22:32 PM »
If my sole income is income related ESA support group and PIP and I chose to draw down 5000 from a pension (to get a car) does than mean my income will have gone over the 11,000 personal allowance that's tax free because of either the ESA or PIP? 

Or are those 2 benefits not taxable so the 5000 would be tax free?

Regards

Confuzzled Fiz

KizzyKazaer

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Re: Which benefits are taxable
« Reply #1 on: January 24, 2017, 06:33:12 PM »
Hi Fiz - both income-based ESA and PIP are non-taxable benefits, if that answers your question!

Fiz

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Re: Which benefits are taxable
« Reply #2 on: January 24, 2017, 06:52:50 PM »
Yes I think it does. So if I draw down up to 5000 from my pension pot it won't affect my benefits and it wouldn't be taxed it seems. If I'm correct.

I see the possibility of regaining a car once I'm 55!