Your income has fallen: reference year change in a criminal case

An old income photo may miss a new problem

For a regular financial assessment, the Legal Aid Board uses data from a previous reference year. This provides an objective starting point, but in the event of a drop in income, it can lead to an outcome that does not reflect the current situation. For example, a dismissal in the current year is not automatically included in the final tax data from two years earlier. The question then is what legal option exists to have the capacity reassessed.

Our editorial analysis is that the conversation should not start with just saying that you have little money now. First it must be clear which data the decision uses and what exactly has changed. Less disposable income due to high costs is not always the same as a decrease in tax income. A low bank balance does not in itself tell you what the relevant assets are on the applicable reference date. A good comparison therefore uses the same concepts on both sides.

What the reference year change in 2026 entails

The Council's explanatory memorandum for 2026 describes that the normal assessment is based on fiscal data from 2024 and that it can be moved to 2026 under certain conditions. If an subsidized legal aid is granted with a personal contribution, the explanation mentions a decrease in tax income of at least fifteen percent. According to that explanation, the same percentage requirement does not apply in the case of a financial rejection; then income and assets in the current year must fall within the legal limits. (explanatory note for 2026 from the Council)

The explanation also mentions a period of six weeks after the first decision on the request. For a specific application, use the current decision, the correct form and the associated conditions. Years and amounts change and this article is not a personal calculation. A situation with the lowest personal contribution or a special arrangement may also be different. Ask the lawyer which financial assessment actually applies to your legal assistance before you just rely on a general pro-deo page.

Tax income is not the same as net salary

A monthly net amount in the bank account is not directly comparable to an annual taxable income. Holiday pay, varying hours, benefits, business results and relevant deductions can play a role. The Council explains in the explanatory notes which tax data are used. Therefore, please copy the concepts from the decision and the official instructions. A comparison of gross wages in one year with net receipts in the other year does not indicate a reliable decrease.

Collect annual statements, recent wage or benefit specifications and documents about a specific change. For the self-employed, a substantiated annual forecast may be necessary instead of just the turnover of the last month. Turnover is not the same as taxable profit. A one-off high or low amount can also distort the picture. If necessary, ask for help with the tax estimate and clearly indicate which components are fixed and which are based on an expectation for the rest of the year.

A decrease in income does not solve every ground for rejection

In addition to income, assets can be relevant. An application may be rejected financially because a limit for income, assets or both is exceeded. Simply showing that wages have fallen may not answer all the grounds. Check which reference date and which asset data are used. A current depreciation or loan is not simply an adjustment of the tax-relevant assets. The precise rules and exceptions are part of the official assessment.

Partner and household details may also have an influence, depending on the situation and applicable regulations. Describe changes factually and do not automatically assume that every housemate is treated the same. Share only necessary financial data through the right channel. An overview for the lawyer does not have to be an unlimited collection of bank transactions from all family members. Ask what supporting documents are needed to assess the specific part of the capacity and how sensitive data is delivered securely.

Change of reference year or objection: what is the problem?

Change of reference year requires assessment based on the current year. An objection may arise if you do not agree with the decision made or the data and application used. For example, if the Council used incorrect personal data or incorrect basis, simply stating that the income subsequently decreased is not necessarily the correct complete response. The in-depth rejected subsidized legal aid addresses that decision analysis. (Subsidized legal aid rejected: objection and payment agreements)

The official objection route has its own requirements and deadlines. Therefore, have it quickly checked whether one route or more than one step is necessary. A telephone conversation to ask for an explanation does not automatically stop a deadline. The same applies to waiting for an annual statement. Please note the date of the decision, the date received and which response was actually submitted. A request for information, a request for a reference year change and a notice of objection each have a different function. (official appeal route)

Treasure the whole year, not just the difficult month

A sudden downturn may cause a period of low income, but the estimate must be appropriate to the relevant year. If you start working again later, that development will count towards the substantiation. Include a signed new contract or an expected benefit in the conversation. Describe uncertainty honestly. A request is not improved by choosing only the lowest month as representative of the entire year without explanation.

Create a table showing income received, future amounts already confirmed and items still uncertain. Include the source and period for each post. Have a possible tax advisor explain how the estimate follows from that data. The lawyer does not have to guess from a stack of bank statements which annual amount you mean. A replicable calculation can also help later if the Council requests additional information or the final fiscal data turns out to be different from the initial forecast.

A preliminary rating may change later

The Council describes the consequences of re-inspection. An assessment based on estimated current data can later be compared with final tax information. This may have consequences for the subsidized legal aid or the personal contribution. An initially favorable decision is therefore not simply a definitive confirmation that no financial question will ever arise again. Keep the application, calculation and substantiation, even after the criminal case continues. (Council describes the consequences of re-inspection)

Discuss what should happen if the income situation changes during the year and what information should be communicated. Do not make your own promise about a final amount that the Council has not yet determined. Also ask the lawyer which costs agreement applies while a request is pending or if it is rejected. The assessment of the subsidy and the assignment to the law firm are related but separate parts. Clear agreements can prevent a financial setback from simultaneously becoming a misunderstanding about the continuation of legal assistance.

Fictional example: dismissal followed by temporary work

Suppose that Eva receives an subsidized legal aid decision in a fictitious situation based on her tax income from 2024. In 2026 she loses her job, but after a few months she receives a temporary contract. Showing only the unemployed month does not give a complete picture of the year. A calculation must describe the previous income, benefit and the new contract in context. Whether all conditions are met remains subject to specific assessment.

Eva therefore collects the original decision, annual data and confirmed current income. She makes it clear which part of the year is still uncertain. It will be discussed with the lawyer whether a reference year extension is appropriate and which period must be monitored. The example shows why financial need is a serious starting point but does not itself replace the tax calculation. A transparent forecast also protects against incorrect forecasts when final data is later checked.

Continue to discuss legal assistance and payment arrangements

A pending request does not yet say who has to pay which bill in the meantime. Ask the lawyer what personal contribution or other agreement applies and what a later change will do to this. An advance, regular declaration and personal contribution are not simply the same. The information about price agreements from lawyers emphasizes the importance of clear agreements. Have it recorded in writing which activities fall under the assignment and what happens in the event of a rejection or change. (information about lawyers' price fixing)

Do not stop forwarding criminal mail without consultation because a financial decision is still outstanding. A hearing date or legal remedy period does not automatically run with the processing of a subsidy application. Discuss who monitors necessary process steps and what help is available in case of acute uncertainty. The financial file must support the substantive file, not unintentionally stop it. Especially when resources are limited, clarity about responsibility and timing is important.

An income comparison with the same definitions

Use the format below in addition to the official forms. It is an editorial worksheet and not a personal tax or legal calculation. Always check the current years and standards. Do not set unknown amounts to zero and keep an estimate recognizable as an estimate. This way, the lawyer or other qualified care provider can specifically indicate which part still requires substantiation.

• Decision: reference, date, data used and financial basis applied.
• Reference year: fiscal income, relevant assets and source of the amounts.
• Current year: received, confirmed future and estimated income.
• Change: concrete event, date and evidence such as termination or new contract.
• Household: the partner and living situation relevant to this scheme.
• Route: reference year change, objection or other appropriate request, with controlled period.
• Follow-up: receipt, additional questions, cost agreement and possible re-inspection.