Are state benefits taxable?

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Note that the following benefits are taxable

State Pension

Jobseeker’s Allowance

Carer’s Allowance

Employment and Support Allowance (contribution based)

Incapacity Benefit (from the 29th week you get it)

Bereavement Allowance

Pensions paid by the Industrial Death Benefit scheme

Widowed Parent’s Allowance

Widow’s pension

 

The following benefits are tax free:

Housing Benefit

Employment and Support Allowance (income related)

Income Support – though you may have to pay tax on Income Support if you’re involved in a strike

Working Tax Credit

Child Tax Credit

Disability Living Allowance

Child Benefit (income based – use the Child Benefit tax calculator to see if you’ll have to pay tax)

Personal Independence Payment (PIP)

Guardian’s Allowance

Attendance Allowance

Pension Credit

Winter Fuel Payments and Christmas Bonus

Free TV licence for over-75s

Lump-sum bereavement payments

Maternity Allowance (not Statutory Maternity Pay)

Industrial Injuries Benefit

Severe Disablement Allowance

Universal Credit

War Widow’s Pension