{
  "url": "https://openlegislation.uk/social-security-contributions-regulations-2001/schedule-3/part-X/paragraph-5",
  "json_url": "https://openlegislation.uk/social-security-contributions-regulations-2001/schedule-3/part-X/paragraph-5.json",
  "legislation": "uksi/2001/1004",
  "legislation_title": "The Social Security (Contributions) Regulations 2001",
  "legislation_url": "https://openlegislation.uk/social-security-contributions-regulations-2001",
  "path": "schedule/3/part/X/paragraph/5",
  "kind": "paragraph",
  "number": "5",
  "heading": "Gratuities and offerings",
  "text": "(1) A payment of, or in respect of, a gratuity or offering which—\n(a) satisfies the condition in either sub-paragraph (2) or (3); and\n(b) is not within sub-paragraph (4) or (5).\n(2) The condition in this sub-paragraph is that the payment—\n(a) is not made, directly or indirectly, by the secondary contributor; and\n(b) does not comprise or represent sums previously paid to the secondary contributor.\n(3) The condition in this sub-paragraph is that the secondary contributor does not allocate the payment, directly or indirectly, to the earner.\n(4) A payment made to the earner by a person who is connected with the secondary contributor is within this sub-paragraph unless—\n(a) it is—\n(i) made in recognition for personal services rendered to the connected person by the earner or by another earner employed by the same secondary contributor; and\n(ii) similar in amount to that which might reasonably be expected to be paid by a person who is not so connected; or\n(b) the person making the payment does so in his capacity as a tronc-master.\n(5) A payment made to the earner is within this sub-paragraph if it is made by a trustee holding property for any persons who include, or any class of persons which includes, the earner.\nIn this sub-paragraph “trustee” does not include a tronc-master.\n(6) A person is connected with the secondary contributor for the purposes of this paragraph if his relationship with the secondary contributor, or where the employer and secondary contributor are different, with either of them, is as described in subsection (2), (3), (4), (5), (6) or (7) of section 839 of the Taxes Act (connected persons).",
  "extent": null,
  "status": null,
  "version": "current",
  "annotations": [
    {
      "type": "F",
      "label": "F1",
      "text": "Words in Sch. 3 Pt. 10 para. 5(1) substituted (23.2.2004) by The Social Security (Contributions) (Amendment) Regulations 2004 (S.I. 2004/173), regs. 1, 2(2)"
    },
    {
      "type": "F",
      "label": "F2",
      "text": "Words in Sch. 3 Pt. 10 para. 5(2) substituted (23.2.2004) by The Social Security (Contributions) (Amendment) Regulations 2004 (S.I. 2004/173), regs. 1, 2(3)"
    },
    {
      "type": "F",
      "label": "F3",
      "text": "Words in Sch. 3 Pt. 10 para. 5(3) substituted (23.2.2004) by The Social Security (Contributions) (Amendment) Regulations 2004 (S.I. 2004/173), regs. 1, 2(4)"
    },
    {
      "type": "F",
      "label": "F4",
      "text": "Sch. 3 Pt. 10 para. 5(4)-(6) added (23.2.2004) by The Social Security (Contributions) (Amendment) Regulations 2004 (S.I. 2004/173), regs. 1, 2(5)"
    }
  ],
  "outstanding_effects": [],
  "provenance": {
    "source": "legislation.gov.uk",
    "source_url": "https://www.legislation.gov.uk/uksi/2001/1004/schedule/3/part/X/paragraph/5",
    "retrieved_at": "2026-10-29T07:54:35.441483+00:00"
  },
  "licence": "Open Government Licence v3.0",
  "licence_url": "https://www.nationalarchives.gov.uk/doc/open-government-licence/version/3/",
  "attribution": "Contains public sector information licensed under the Open Government Licence v3.0. Source: legislation.gov.uk, The National Archives."
}