The Social Security (Contributions) (Amendment) Regulations (Northern Ireland) 1999

Explanatory Note

(This note is not part of the Regulations.)

These Regulations further amend the Social Security (Contributions) Regulations (Northern Ireland) 1979 (“the principal Regulations”).

Regulation 2 amends regulation 1(2) of the principal Regulations by inserting a new definition of “non-cash voucher”.

Regulation 3 amends regulation 18 of the principal Regulations to provide for the calculation of earnings in respect of a payment in the form of a non-cash voucher which is not otherwise disregarded as earnings in accordance with the provisions of regulation 19(1)(d) of, and the new Schedule 1C to, the principal Regulations.

Regulation 3(a) inserts a new sub-paragraph (c) into regulation 18(8) of the principal Regulations to provide for the calculation of earnings comprised in any payment by way of a non-cash voucher not otherwise exempt from earnings which is a voucher within paragraph 9B of Schedule 1A to the principal Regulations which is not capable of being exchanged for a readily convertible asset within Schedule 1B to the principal Regulations.

Regulation 3(b) substitutes sub-paragraphs (a) and (b) of regulation 18(9) of the principal Regulations to provide for the calculation of earnings comprised in any payment by way of a non-cash voucher not otherwise exempt from earnings which is a voucher within paragraph 9B of Schedule 1A to the principal Regulations which is capable of being exchanged for a readily convertible asset within Schedule 1B to the principal Regulations.

Regulation 3(c) makes consequential amendments.

Regulation 3(d) amends regulation 18 of the principal Regulations by adding 4 new paragraphs—

(a) new paragraph (22) provides for the calculation of a person’s earnings comprised in any payment by way of a non-cash voucher which are not otherwise to be calculated in accordance with regulation 18(8) or (9) of the principal Regulations;

(b) new paragraph (23) makes incidental provision for the purposes of the new paragraph (22);

(c) new paragraph (24) provides for the calculation of each person’s earnings comprised in any payment by way of a cash or non-cash voucher made available to 2 or more persons;

(d) new paragraph (25) makes incidental provision for the purposes of the new paragraph (24).

Regulation 4 amends regulation 19(5) of the principal Regulations by adding a new sub-paragraph (c) to limit the application of regulation 19(1)(d) of those Regulations by providing that that regulation shall not include any payment by way of any non-cash voucher not falling within the new Schedule 1C to the principal Regulations.

Regulation 5 inserts a new Schedule 1C into the principal Regulations.

Section 3(2A) of the Social Security Contributions and Benefits (Northern Ireland) Act 1992, one of the enabling provisions under which these Regulations are made, was inserted by Article 45 of the Social Security (Northern Ireland) Order 1998 which was brought into operation on 9th September 1998 by virtue of the Social Security (1998 Order) (Commencement No. 1) Order (Northern Ireland) 1998 (S.R. 1998 No. 312 (C. 15)).

These Regulations make in relation to Northern Ireland only provision corresponding to provision contained in Regulations made by the Secretary of State for Social Security in relation to Great Britain and accordingly, by virtue of section 149(3) of, and paragraph 10 of Schedule 5 to, the Social Security Administration (Northern Ireland) Act 1992 (c. 8), are not subject to the requirement of section 149(2) of that Act for prior reference to the Social Security Advisory Committee.