Explanatory note

These Regulations amend Schedule 4 to the Social Security (Contributions) Regulations 2001 (S.I. 2001/1004: “the principal Regulations”). Schedule 4 makes provision corresponding to, and applying provisions of, the Income Tax (Employments) Regulations 1993 (S.I. 1993/744: “the Income Tax Regulations”) in relation to National Insurance contributions.

Regulation 1 provides for citation, commencement and interpretation of these Regulations.

Regulation 2 amends paragraph 7 of Schedule 4. Regulation 2(2) extends the time in which contributions can be recovered by one year where payment has been made by an intermediary pursuant to sub-paragraph (4)(e) of paragraph 7. Regulation 2(3) qualifies sub-paragraph (5) of paragraph 7. Regulation 2(4) inserts two new sub-paragraphs (5A) and (5B) into paragraph 7. The new sub-paragraphs deal with payment by an intermediary, payment of shares or share-based earnings and payments treated as earnings by Part 7 of the Income Tax (Earnings and Pensions) Act 2003 (c. 1). In these circumstances the time for recovery of contributions from an earner by his employer is extended by one year, and the limit on the amount which can be recovered during that period does not apply.

Regulation 3 amends paragraph 9 of Schedule 4 so that an employee who would not otherwise be entitled to a certificate in accordance with regulation 39 of the Income Tax Regulations, is entitled to such a certificate if the employee has paid, or is treated as having paid, primary Class 1 contributions.