Part 5

Social security: general

Administration of tax credits

Tax credits: transfer of functions etc
126
1
Her Majesty may by Order in Council—
a
transfer to the Secretary of State any tax credit function of the Treasury or the Commissioners;
b
direct that any tax credit function of the Treasury or the Commissioners is to be exercisable concurrently with the Secretary of State or is to cease to be so exercisable.
2
Provision within subsection (1) may be limited so as to apply only in relation to cases within a specified description.
3
Her Majesty may by Order in Council, as Her Majesty considers appropriate—
a
make provision in connection with a transfer or direction under subsection (1);
b
make other provision within one or more of the following sub-paragraphs—
i
provision applying (with or without modifications) in relation to tax credits any provision of primary or secondary legislation relating to social security;
ii
provision combining or linking any aspect of the payment and management of tax credits with any aspect of the administration of social security;
iii
provision about the use or supply of information held for purposes connected with tax credits, including (in particular) provision authorising or requiring its use or supply for other purposes;
iv
in relation to information held for purposes not connected with tax credits, provision authorising or requiring its use or supply for purposes connected with tax credits.
4
An Order may make provision under subsection (3)(b) only if—
a
the Order also makes provision under subsection (1), or
b
a previous Order has made provision under subsection (1).
5
Provision within subsection (3)—
a
may confer functions on, or remove functions from, the Secretary of State, the Treasury, the Commissioners, a Northern Ireland department or any other person;
b
may (in particular) authorise the Secretary of State and the Commissioners to enter into arrangements from time to time under which the Commissioners are to provide services to the Secretary of State in connection with tax credits.
6
Provision within subsection (3)—
a
may expand the scope of the conduct which constitutes an offence under any primary or secondary legislation, but may not increase the scope of any punishment for which a person may be liable on conviction for the offence;
b
may expand the scope of the conduct in respect of which a civil penalty may be imposed under any primary or secondary legislation, but may not increase the maximum amount of the penalty.
7
An Order under this section may include such consequential, supplementary, incidental or transitional provision as Her Majesty considers appropriate including (for example)—
a
provision for transferring or apportioning property, rights or liabilities (whether or not they would otherwise be capable of being transferred or apportioned);
b
provision for substituting any person for any other person in any instrument or other document or in any legal proceedings;
c
provision with respect to the application in relation to the Crown of provision made by the Order.
8
A certificate issued by the Secretary of State that any property, rights or liabilities set out in the certificate have been transferred or apportioned by an Order under this section as set out in the certificate is conclusive evidence of the matters so set out.
9
An Order under this section may amend, repeal or revoke any primary or secondary legislation.
10
A statutory instrument containing an Order under this section is subject to annulment in pursuance of a resolution of either House of Parliament.
11
In this section references to tax credits are to child tax credit or working tax credit or both.
12
In this section references to primary or secondary legislation are to such legislation whenever passed or made.
13
In this section—
- “the Commissioners” means the Commissioners for Her Majesty's Revenue and Customs;
- “primary legislation” means an Act (including this Act) or Northern Ireland legislation;
- “secondary legislation” means an instrument made under primary legislation (including an Order under this section);
- “tax credit functions” means functions so far as relating to tax credits conferred by or under any primary or secondary legislation.
14
In section 5A(3) of the Ministers of the Crown Act 1975, for “section 5(1)” there is substituted “section 5(1)(a) or (b)“.