The Social Security (Contributions) Regulations 2001

PART I U.K. GENERAL

Interpretation U.K.

1.—(1) In this Schedule, unless the context otherwise requires the “Income Tax Regulations” means the Income Tax (Employments) Regulations 1993 F1 .

(2) In this Schedule, unless the context otherwise requires—

• “aggregated” means aggregated and treated as a single payment under paragraph 1(1) of Schedule 1 to the Act F2 ;

• “allowable superannuation contributions” means any sum paid by an employee by way of contribution towards a superannuation fund or scheme which is allowed to be deducted as an expense under Schedule E;

• “Collector” means a Collector of Taxes;

• “Compensation of Employers Regulations” means the Statutory Maternity Pay (Compensation of Employers) and Miscellaneous Amendment Regulations 1994 F3 and the Statutory Sick Pay Percentage Threshold Order 1995 F4 ;

• “deductions working sheet” means any form of record on or in which are to be kept the matters required by this Schedule in connection with an employee’s emoluments and earnings-related contributions or the form issued by the Inspector under paragraph 31 or regulation 20 of the Income Tax Regulations (employee on fixed pay) for the purpose of keeping this record;

• “emoluments” means so much of a person’s remuneration or profit derived from employed earner’s employment as constitutes earnings for the purposes of the Act;

• “employed earner” and “employed earner’s employment” have the same meaning as in the Act;

• “employee” means any person in receipt of emoluments;

• “employer” means any person paying emoluments;

• “earnings-related contributions” means contributions payable under the Act by or in respect of an employed earner in respect of employed earner’s employment;

• “income tax month” means the period beginning on the 6th day of any calendar month and ending on the 5th day of the following calendar month;

• “income tax period” means income tax quarter where paragraph 11 has effect, but otherwise means income tax month;

• “income tax quarter” means the period beginning on 6th April and ending on 5th July, or beginning on 6th July and ending on 5th October, or beginning on 6th October and ending on 5th January, or beginning on 6th January and ending on 5th April;

• “Inspector” means an Inspector of Taxes;

• “mariner” has the same meaning as in regulation 115;

• “the Reimbursement Regulations” means the Employer’s Contributions Re-imbursement Regulations 1996 F5 ;

• “statutory maternity pay” and “statutory sick pay” means any sum treated as remuneration by virtue of section 4(1)(a) of the Act;

• “voyage period” has the same meaning as in regulation 115;

• “year” means income tax year;

and other expressions have the same meaning as in the Income Tax Acts.

(3) For the purposes of paragraphs 7(13), 9, 10, 11 and 22, “primary Class 1 contributions” and “earnings-related contributions” shall, unless the context otherwise requires, include any amount paid on account of earnings-related contributions in accordance with the provisions of regulation 8(6).

Textual Amendments

F1 S.I. 1993/744.

F2 Paragraph 1(1) was amended by section 148(2) to (4) of the Pensions Act 1995 (c. 26), paragraph 77(2) to (4) of Schedule 7 to the Social Security Act 1998 (c. 14), paragraph 31 of Schedule 3 to the Transfer Act and paragraph 78(2) to (5) of Schedule 12 to the Welfare Reform Act.

F3 S.I. 1994/1882.

F4 S.I. 1995/512.

F5 S.I. 1965/195: these Regulations were amended by Part II of Schedule 10 to the Transfer Act and regulation 2 of S.I. 1999/286.

Multiple employers U.K.

2.  Where an employer has made a election under regulation 3 of Income Tax Regulations to be treated as a different employer in respect of each group of employees specified in the election, he shall be treated as having made an identical election for the purposes of this Schedule.

Intermediate employers U.K.

3.—(1) Where an employee works for a person who is not his immediate employer, that person shall be treated as the employer for the purpose of this Schedule, and the immediate employer shall furnish the principal employer with such particulars of the employee’s emoluments as may be necessary to enable the principal employer to comply with the provisions of this Schedule.

This is subject to the qualification in sub-paragraph (4).

(2) In this paragraph—

• “the principal employer” means the person specified as the relevant person in the direction referred to in sub-paragraph (4), and

• “the immediate employer” means the person specified as the contractor in that direction.

(3) If the employee’s emoluments are actually paid to him by the immediate employer—

(a) the immediate employer shall be notified by the principal employer of the amount of earnings-related contributions which may be deducted when the emoluments are paid to the employee, and may deduct the amount so notified to him accordingly; and

(b) the principal employer may make a corresponding deduction on making to the immediate employer the payment out of which the said emoluments will be paid.

(4) This paragraph only applies if a direction has been given by the Board under section 203E of the Taxes Act (PAYE: mobile UK workforce) F6 .

(5) Where an employee is paid a sickness payment which by virtue of regulation 23 is not made through the secondary contributor in relation to the employment—

(a) the person making that payment shall furnish the secondary contributor with such particulars of that payment as may be necessary to enable the secondary contributor to comply with this Schedule; and

(b) for the purposes only of this Schedule the secondary contributor shall be deemed to have made the sickness payment.

Textual Amendments

F6 Section 203E was inserted by section 126 of the Finance Act 1994 (c. 9).

Employer’s earnings-related contributions U.K.

4.  If, under this Schedule, a person is required to pay any earnings-related contributions which, under section 6(4) of the Act F7 , another person is liable to pay, his payment of those contributions shall be made as agent for that other person.

Textual Amendments

F7 This section was substituted by paragraph 2 of Part I of Schedule 9 to the Welfare Reform Act.

Inspectors and Collectors U.K.

5.  Any legal proceedings or administrative act authorised by or done for the purposes of this Schedule and begun by one Inspector or Collector may be continued by another Inspector or, another Collector; and any Inspector or Collector may act for any division or other area.