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The Social Security (Contributions) (Amendment) Regulations 2015

S.I. 2015/543 · Made 5 March 2015

Original text. legislation.gov.uk does not revise statutory instruments, so later amendments are not shown here. Changes made to it are listed under each provision when known.

Social Security

Made 5th March 2015

Laid before Parliament 6th March 2015

Coming into force 6th April 2015

The Treasury make the following Regulations in exercise of the powers conferred by sections 3(2) and (3) and 175(3) of the Social Security Contributions and Benefits Act 1992f1 and sections 3(2) and (3) and 171(3) and (10) of the Social Security Contributions and Benefits (Northern Ireland) Act 1992f2.

The Secretary of State and the Department for Social Development concur in the making of these Regulations.

Annotations to the whole text

Footnotes

f1

1992 c. 4; section 3(2) was amended by paragraph 3 of Schedule 3 to the Social Security Contributions (Transfer of Functions, etc.) Act 1999 (c. 2).

f2

1992 c. 7; section 3(2) was amended by paragraph 4 of Schedule 3 to the Social Security Contributions (Transfer of Functions, etc.) Order 1999 (S.I. 1999/671) (“the Transfer Order”). Section 171(10) was substituted by paragraph 28(3) of Schedule 3 to the Transfer Order.

Contents

  1. 1Citation and commencement
  2. 2Amendment of the Social Security (Contributions) Regulations 2001
  3. 3Amendment of the Social Security (Contributions) Regulations 2001
  4. 4Amendment of the Social Security (Contributions) Regulations 2001
  5. Signature
  6. Explanatory note

1Citation and commencement

These Regulations may be cited as the Social Security (Contributions) (Amendment) Regulations 2015 and come into force on 6th April 2015.

2Amendment of the Social Security (Contributions) Regulations 2001

Part 6 of Schedule 3 to the Social Security (Contributions) Regulations 2001f1 is amended as follows.

3Amendment of the Social Security (Contributions) Regulations 2001

In paragraph 1 for “paragraphs 2 to 11” substitute “this Part”.

4Amendment of the Social Security (Contributions) Regulations 2001

After paragraph 11 insert—

“Independent advice in respect of conversions and transfers of pension scheme benefits

12.

A payment or reimbursement to which no liability to income tax arises by virtue of section 308B of ITEPA 2003f1 (independent advice in respect of conversions and transfers of pension scheme benefits).”.

Signature

David Evennett

Gavin Barwell

Two of the Lords Commissioners of Her Majesty’s Treasury

5th March 2015

The Secretary of State concurs.

Signed by authority of the Secretary of State for Work and Pensions

Steve Webb

Minister of State

Department for Work and Pensions

4th March 2015

The Department for Social Development concurs.

Sealed with the Official Seal of the Department for Social Development on 4th March 2015

L.S.

Anne McCleary

A senior officer of the Department for Social Development

4th March 2015

Explanatory note

(This note is not part of the Regulations)

These Regulations amend the Social Security (Contributions) Regulations 2001 (S.I. 2001/1004) (“the Contributions Regulations”). The Contributions Regulations set out how to calculate an individual’s earnings for the purpose of earnings-related National Insurance contributions. Schedule 3 provides for certain payments to be disregarded for these purposes.

Regulation 4 adds a new paragraph 12 to Part 6 of Schedule 3 to the Contributions Regulations, which provides that any payment which is exempt from income tax under section 308B of the Income Tax (Earnings and Pensions) Act 2003 (c. 1) will also be disregarded for these purposes. This means that an employer will not be liable to pay earnings-related National Insurance contributions in respect of payments for, or reimbursements of, the cost of advice about the conversion or transfer of a pension scheme which they are required to provide under the Pension Schemes Act 2015 (c. 8).

A Tax Information and Impact Note covering this instrument will be published on the website at https://www.gov.uk/government/collections/tax-information-and-impact-notes-tiins.