Citation, commencement and interpretation1

1

These Regulations may be cited as the Social Security (Miscellaneous Amendments No. 2) Regulations (Northern Ireland) 2007 and shall come into operation on 16th July 2007.

2

The Interpretation Act (Northern Ireland) 19547 shall apply to these Regulations as it applies to an Act of the Assembly.

Amendment of the Social Security (Credits) Regulations2

1

The Social Security (Credits) Regulations (Northern Ireland) 19758 are amended in accordance with paragraphs (2) and (3).

2

In regulation 2(1) (interpretation) in the definition of “reckonable year”9, in paragraph (a), after “widowed mother’s allowance,” insert “widowed parent’s allowance, bereavement benefits,”.

3

In regulation 8B(2)(a)(i)10 (credits for incapacity for work) omit the words from “or would” to the end.

Amendment of the Income Support (General) Regulations3

1

The Income Support (General) Regulations (Northern Ireland) 198711 are amended in accordance with paragraphs (2) to (8).

2

In regulation 2(1) (interpretation)—

a

in the definition of “pension fund holder”12—

i

for “retirement annuity contract” substitute “an occupational pension scheme”, and

ii

omit “or contract”;

b

for the definition of “personal pension scheme”13 substitute—

  • “personal pension scheme” means—

    1. a

      a personal pension scheme as defined by section 1 of the Pension Schemes (Northern Ireland) Act 199314;

    2. b

      an annuity contract or trust scheme approved under section 620 or 621 of the Income and Corporation Taxes Act 198815 or a substituted contract within the meaning of section 622(3) of that Act which is treated as having become a registered pension scheme by virtue of paragraph 1(1)(f) of Schedule 36 to the Finance Act 200416;

    3. c

      a personal pension scheme approved under Chapter IV of Part XIV of the Income and Corporation Taxes Act 1988 which is treated as having become a registered pension scheme by virtue of paragraph 1(1)(g) of Schedule 36 to the Finance Act 2004;

c

omit the definition of “retirement annuity contract”17; and

d

in the definition of “war widower’s pension”18, for “section 315(2)(e) of the Income and Corporation Taxes Act 1988” substitute “section 641(1)(e) or (f) of the Income Tax (Earnings and Pensions) Act 200319”.

3

In regulation 3820 (calculation of net profit of self-employed earners), in paragraphs (1)(b)(ii), (3)(c) and (9)(b) omit “a retirement annuity contract or”.

4

In regulation 39(1)21 (deduction of tax and contributions for self-employed earners)—

a

for “personal relief” in each place substitute “personal allowance”; and

b

for “sections 8(1) and (2) and 14(1)(a) and (2) of the Income and Corporation Taxes Act 1970” substitute “section 257(1) of the Income and Corporation Taxes Act 1988”.

5

In regulation 39D22 (deduction in respect of tax for participants in the self-employment route)—

a

for paragraph (1)(b) substitute—

b

the personal allowance applicable to the person receiving assistance under the self-employment route by virtue of section 257(1) of the Income and Corporation Taxes Act 1988 (personal allowances) is allowable against that income.

b

in paragraph (2) for “personal relief” substitute “personal allowance”.

6

In regulation 42 (notional income)—

a

in paragraph (2)(g)23 omit “, retirement annuity contract”;

b

in paragraph (2ZA)(a)24 omit “, a retirement annuity contract”;

c

for paragraph (2A)25 substitute—

2A

This paragraph applies where a person aged not less than 60—

a

is entitled to money purchase benefits under an occupational pension scheme or a personal pension scheme;

b

fails to purchase an annuity with the funds available in that scheme; and

c

either—

i

defers in whole or in part the payment of any income which would have been payable to him by his pension fund holder;

ii

fails to take any necessary action to secure that the whole of any income which would be payable to him by his pension fund holder upon his applying for it, is so paid, or

iii

income withdrawal is not available to him under that scheme.

2AA

Where paragraph (2A) applies, the amount of any income foregone shall be treated as possessed by that person, but only from the date on which it could be expected to be acquired were an application for it to be made.

d

in paragraph (2B)26 for “to which either head (2A)(a)(i) or (ii)” substitute “where paragraph (2A)(c)(i) or (ii)”;

e

in paragraph (2C)27—

i

for “to which either head (2A)(a)(iii) or sub-paragraph (2A)(b)” substitute “where paragraph (2A)(c)(iii)”, and

ii

omit “, or retirement annuity contract”; and

f

in paragraph (8)(a)28—

i

for “personal relief” in each place substitute “personal allowance”, and

ii

for “sections 8(1) and (2) and 14(1)(a) and (2) of the Income and Corporation Taxes Act 1970” substitute “section 257(1) of the Income and Corporation Taxes Act 1988”.

7

In regulation 51(2)(d)29 (notional capital) omit “or retirement annuity contract”.

8

In Schedule 10 (capital to be disregarded) in paragraph 23A30 omit “or retirement annuity contract”.

Amendment of the Jobseeker’s Allowance Regulations4

1

The Jobseeker’s Allowance Regulations (Northern Ireland) 199631 are amended in accordance with paragraphs (2) to (5).

2

In regulation 1(2)32 (interpretation) in the definition of “war widower’s pension” insert at the end “or a pension or allowance for a widower or surviving civil partner granted under any scheme mentioned in section 641(1)(e) or (f) of the Income Tax (Earnings and Pensions) Act 2003”.

3

In regulations 102(1) (deduction of tax and contributions for self-employed earners), 102D33 (deduction in respect of tax for participants in the self-employment route) and 105(15) (notional income)—

a

for “personal relief” or “personal reliefs” in each place substitute “personal allowance”; and

b

for “sections 257(1), 257A(1) and 259” in each place substitute “section 257(1)”.

4

In regulation 105 (notional income)—

a

for paragraph (3)34 substitute—

3

This paragraph applies where a person aged not less than 60—

a

is entitled to money purchase benefits under an occupational pension scheme or a personal pension scheme;

b

fails to purchase an annuity with the funds available in that scheme; and

c

either—

i

defers in whole or in part the payment of any income which would have been payable to him by his pension fund holder;

ii

fails to take any necessary action to secure that the whole of any income which would be payable to him by his pension fund holder upon his applying for it, is so paid, or

iii

income withdrawal is not available to him under that scheme.

3A

Where paragraph (3) applies, the amount of any income foregone shall be treated as possessed by that person, but only from the date on which it could be expected to be acquired were an application for it to be made.

b

in paragraph (4)35 for “to which head (i) or (ii) of paragraph (3)(a)” substitute “where paragraph (3)(c)(i) or (ii)”;

c

in paragraph (5)36 for “to which head (iii) of paragraph (3)(a), or paragraph (3)(b)” substitute “ where paragraph (3)(c)(iii)”; and

d

in paragraph (17) in the definition of “pension fund holder” after “personal pension scheme” insert “or an occupational pension scheme”.

5

In Schedule 7 (capital to be disregarded) in paragraph 29 omit “or retirement annuity contract”.

Amendment of the Housing Benefit Regulations5

1

The Housing Benefit Regulations (Northern Ireland) 200637 are amended in accordance with paragraphs (2) to (7).

2

In regulation 2(1) (interpretation)—

a

in the definition of “pension fund holder”—

i

for “retirement annuity contract” substitute “an occupational pension scheme”, and

ii

omit “or contract”;

b

for the definition of “personal pension scheme” substitute—

  • “personal pension scheme” means—

    1. a

      a personal pension scheme as defined by section 1 of the Pension Schemes (Northern Ireland) Act 1993;

    2. b

      an annuity contract or trust scheme approved under section 620 or 621 of the Taxes Act or a substituted contract within the meaning of section 622(3) of that Act which is treated as having become a registered pension scheme by virtue of paragraph 1(1)(f) of Schedule 36 to the Finance Act 2004;

    3. c

      a personal pension scheme approved under Chapter IV of Part XIV of the Taxes Act which is treated as having become a registered pension scheme by virtue of paragraph 1(1)(g) of Schedule 36 to the Finance Act 2004;

c

omit the definition of “retirement annuity contract”.

3

In regulation 35(13) (calculation of net profit of self-employed earners) omit “a retirement annuity contract or”.

4

In regulation 39 (notional income)—

a

in paragraph (2)(c) omit “, retirement annuity contract”;

b

for paragraph (3) substitute—

3

This paragraph applies where a person aged not less than 60—

a

is a member of, or a person deriving entitlement to a pension under, a personal pension scheme;

b

fails to purchase an annuity with the funds available in that scheme; and

c

either—

i

defers in whole or in part the payment of any income which would have been payable to him by his pension fund holder;

ii

fails to take any necessary action to secure that the whole of any income which would be payable to him by his pension fund holder upon his applying for it, is so paid, or

iii

income withdrawal is not available to him under that scheme.

3A

Where paragraph (3) applies, the amount of any income foregone shall be treated as possessed by that person, but only from the date on which it could be expected to be acquired were an application for it to be made.

c

in paragraph (4) for “to which paragraph (3)(a)(i) or (ii)” substitute “where paragraph (3)(c)(i) or (ii)”; and

d

in paragraph (5)—

i

for “to which paragraph (3)(a)(iii) or (b)” substitute “where paragraph (3)(c)(iii)”, and

ii

omit “or retirement annuity contract”.

5

In regulation 46(2)(d) (notional capital) omit “, retirement annuity contract”.

6

In regulation 82 (evidence and information)—

a

in paragraph (5) omit “or is a party to, or a person deriving entitlement to a pension under, a retirement annuity contract,”;

b

in paragraphs (5)(b) and (6) omit “or retirement annuity contract”; and

c

in paragraph (7)(b)(ii) omit “or a retirement annuity contract,”.

7

In Schedule 7 (capital to be disregarded) in paragraph 33 omit “or retirement annuity contract”.

Amendment of the Housing Benefit (Persons who have attained the qualifying age for state pension credit) Regulations6

1

The Housing Benefit (Persons who have attained the qualifying age for state pension credit) Regulations (Northern Ireland) 200638 are amended in accordance with paragraphs (2) to (6).

2

In regulation 2(1) (interpretation)—

a

in the definition of “pension fund holder”—

i

for “retirement annuity contract” substitute “an occupational pension scheme”, and

ii

omit “or contract”;

b

for the definition of “personal pension scheme” substitute—

  • “personal pension scheme” means—

    1. a

      a personal pension scheme as defined by section 1 of the Pension Schemes (Northern Ireland) Act 1993;

    2. b

      an annuity contract or trust scheme approved under section 620 or 621 of the Taxes Act or a substituted contract within the meaning of section 622(3) of that Act which is treated as having become a registered pension scheme by virtue of paragraph 1(1)(f) of Schedule 36 to the Finance Act 2004;

    3. c

      a personal pension scheme approved under Chapter IV of Part XIV of the Taxes Act which is treated as having become a registered pension scheme by virtue of paragraph 1(1)(g) of Schedule 36 to the Finance Act 2004;

c

omit the definition of “retirement annuity contract”.

3

In regulation 37(12) (calculation of net profit of self-employed earners) omit “a retirement annuity contract or”.

4

In regulation 39 (notional income)—

a

for paragraph (4) substitute—

4

This paragraph applies where a person aged not less than 60—

a

is entitled to money purchase benefits under an occupational pension scheme or a personal pension scheme;

b

fails to purchase an annuity with the funds available in that scheme; and

c

either—

i

defers in whole or in part the payment of any income which would have been payable to him by his pension fund holder;

ii

fails to take any necessary action to secure that the whole of any income which would be payable to him by his pension fund holder upon his applying for it, is so paid, or

iii

income withdrawal is not available to him under that scheme.

4A

Where paragraph (4) applies, the amount of any income foregone shall be treated as possessed by that person, but only from the date on which it could be expected to be acquired were an application for it to be made.

b

in paragraph (5) for “to which either paragraph (4)(a)(i) or (ii)” substitute “where paragraph (4)(c)(i) or (ii)”; and

c

in paragraph (6)—

i

for “to which either paragraph (4)(a)(iii) or (b)” substitute “where paragraph (4)(c)(iii)”, and

ii

omit “or retirement annuity contract”.

5

In regulation 63 (evidence and information)—

a

in paragraph (5) omit “or is a party to, or a person deriving entitlement to a pension under, a retirement annuity contract,”;

b

in paragraphs (5)(b) and (6) omit “or retirement annuity contract”; and

c

in paragraph (7)(b)(ii) omit “or a retirement annuity contract,”.

6

In Schedule 7 (capital to be disregarded) omit paragraph 25.

Revocations7

The Regulations specified in column (1) of the Schedule are revoked to the extent specified in column (3).

Sealed with the Official Seal of the Department for Social Development on 20th June 2007

John O'NeillA senior officer of theDepartment for Social Development

The Department of Finance and Personnel consents to regulations 5 and 6.

Sealed with the Official Seal of the Department of Finance and Personnel on 20th June 2007

Adrian ArbuthnotA senior officer of theDepartment of Finance and Personnel