⚠️ Please note: we are currently working on updating our tax guidance for 2020/21
across the LITRG website
Disabled people and carers
Disabled people and carers
The Low Incomes Tax Reform Group (LITRG) is not a disability organisation but we hope that this section will prove helpful in understanding tax and related benefits for disabled people and their carers.
What can I find in this section of the website?
In this section, we provide information and guidance about tax issues relevant to disabled people and those with caring responsibilities.
In particular, we provide information on the following areas:
- Help for employees and the self-employed: we explain some of the tax-related rules to support and encourage disabled people with work.
- Help for employers: we cover things that it may be useful to understand for someone employing a disabled person.
- Independent living: here we look at some considerations for those ‘employing’ a personal assistant with funds provided by way of direct payments. The information may also be relevant to those in receipt of NHS personal health budgets or Access to Work grants.
- Caring for someone: here we explain some of the different levels of state support if you are an unpaid carer, as well as some of the pay and tax issues that you may face if you are a paid care worker. We also help foster carers and shared lives carers, who may provide care to disabled people on a formal basis, understand how tax and National Insurance works for them.
- Leaving the armed forces as a result of disablement: we examines the cash payments that may be available to you and whether they are liable to tax or not.
- Trusts for disabled people: we give guidance on these special trusts and who can take advantage of them. We also give an update on some anticipated changes.
VAT reliefs for disabled and older people: we look at ways that the costs of services and goods, such as mobility aids, can sometimes be lower for disabled people.
Apprenticeships and disability: the number of disabled people in apprenticeships is rising fast – here we look at apprenticeships in more detail.
We also look at the rules and concessions around council tax for disabled people and carers in our other tax issues section.
Tax matters generally can be complicated, and the special rules for disabled people or for those who care for them, are even more so. If you do not think we have covered what you wanted to know, or would like to tell us of your experiences so we might learn and try and get things changed, please do contact us.
Where can I get more help?
If you want more information on any of the following areas, you can find it elsewhere on this website:
- Tax basics: information on tax allowances, tax rates and how to claim tax back;
- Employment: how to check your coding notice, as well as looking at employment expenses and benefits;
- Self-employment: how to work out your profits and losses;
- Pensioners: tax on, and during, retirement;
- Bereavement: tax issues arising on death for the deceased, their estate and surviving family;
- Migrants: tax issues for migrants, including residence and domicile;
- Other tax issues: including non-taxpayers, savings income and property rental income;
- Tax credits and benefits: help to ensure you receive the appropriate credits and benefits;
- Childcare: this section explains the different government childcare schemes and how they interact.
LITRG also has other websites that you may find helpful, including:
- Tax Guide for Students: tax information for students, including employment issues and student loan information;
- Disability Tax Guide: information primarily aimed at people who take on personal assistants/paid carers and those assisting them;
- RevenueBenefits: supporting information for advisers who get involved in HMRC-administered welfare benefits, and national minimum wage; including transitional information for the move of tax credits to universal credit.
HM Revenue & Customs (HMRC) manage the UK tax system. You can find their contact details on GOV.UK.
A significant barrier for disabled people can sometimes be effectively communicating with HMRC either by phone or face-to-face. We give you some information about the different ways of contacting them if you have additional needs in the dealing with HMRC section of our Disability Tax Guide website.
Throughout this site we can only offer general guidance on tax topics that are most relevant to those on low incomes and you should always obtain specific advice before taking any action. You can find out where to get specialist help in our getting help section.