Regulation 2 Amendment of the Income Tax (Sub-contractors in the Construction Industry) Regulations 1993

For paragraph 2 of regulation 9 of the Income Tax (Sub-contractors in the Construction Industry) Regulations 1993^f1 substitute—

“(2)

The condition is that, for income tax months falling within the current year, the average monthly amount found by the formula—

$$\begin{gathered} \mathbf{S}+\mathbf{P}+\mathbf{N}+\mathbf{L}-\mathbf{T} \\ \text{will be less than £1,500.} \end{gathered}$$

Here—

• S is the amount to be paid to the collector under regulation 8;

• P is the amount which would be payable to the collector under regulation 40 of the Income Tax (Employments) Regulations 1993^f2 if any adjustment to that amount under regulation 7(1) of the Tax Credits (Payments by Employers) Regulations 1999^f3 were disregarded;

• N is the amount which would be payable to the collector under the Social Security Contributions and Benefits Act 1992^f4 and the Social Security (Contributions) Regulations 1979^f5, or in Northern Ireland under the Social Security Contributions and Benefits (Northern Ireland) Act 1992^f6 and the Social Security (Contributions) Regulations (Northern Ireland) 1979^f7, if any adjustment to that amount under regulation 7(3) of the Tax Credits (Payments by Employers) Regulations 1999 were disregarded;

• L is the amount which would be payable to the collector under regulation 39(1) of either the Education (Student Loans) Regulations 2000^f8 or the Education (Student Loans) (Repayment) Regulations (Northern Ireland) 2000^f9 if the reduction of that amount which is referred to in paragraph (3) of that regulation and in regulation 7(2) of the Tax Credits (Payments by Employers) Regulations 1999 were disregarded; and

• T is the amount which the employer is required to pay by way of tax credits in accordance with regulation 6(2) of the Tax Credits (Payment by Employers) Regulations 1999.”.