Regulation 5 Amendments to the Social Security (Contributions) Regulations 2001

In Schedule 2 (calculation of earnings for the purposes of earnings-related contributions) for paragraph 7^f1 substitute—

“7.

(1)

The amount of earnings comprised in any payment by way of the conferment of—

(a)

a convertible interest in securities;

(b)

a restricted interest in securities; or

(c)

an interest in convertible or restricted securities,

falling to be taken into account in computing a person’s earnings from employed earner’s employment shall be computed in the same manner, and shall be taken into account at the same time, as applies under Chapters 1 to 5 of Part 7 of ITEPA 2003^f2, for the purpose of computing his employment income.

This is subject to the following qualification.

(2)

For the purpose of sub-paragraph (1) no account shall be taken of any relief obtained under sections 428A or 442A of ITEPA 2003^f3 (relief for secondary Class 1 contributions met by employee).”.