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The Tax Credits (Miscellaneous Amendments) Regulations 2003

S.I. 2003/44 · Made 14 January 2003

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

TAXES

Made 14th January 2003

Laid before Parliament 14th January 2003

Coming into force 4th February 2003

The Treasury, in exercise of the powers conferred upon them by sections 128(5), 129(8), 136(3), (4) and (5), 137 (1) and 175(1), (3) and (4) of the Social Security Contributions and Benefits Act 1992f1, and section 2(1)(a) of, and paragraphs 1(c), (d) and (g) and 20(a) of Schedule 2 to, the Tax Credits Act 1999f2, and the Commissioners of Inland Revenue, in exercise of the powers conferred upon them by sections 137(2)(c) and (d) and 175(1), (3) and (4) of the Social Security Contributions and Benefits Act 2002f3, and section 2(1)(c) of, and paragraphs 7(a) and 20(a) of Schedule 2 to, the Tax Credits Act 1999, hereby make the following Regulations:

Annotations to the whole text

Footnotes

f1

1992 c. 4. Sections 128(5) and 129(8) were amended by paragraph 2(g) and (h) of Schedule 1 to the Tax Credits Act 1999 (c. 10). Section 137(1) is cited because of the meaning it ascribes to the word “prescribed”.

f2

1999 c. 10.

f3

Section 137(2)(d) was substituted by paragraph 35(3) of Schedule 2 to the Jobseekers Act 1995 (c. 18).

Contents

  1. 1Citation, commencement and effect
  2. 2Interpretation
  3. 3Amendments to the Disability Working Allowance Regulations
  4. 4Amendments to the Disability Working Allowance Regulations
  5. 5Amendments to the Disability Working Allowance Regulations
  6. 6Amendments to the Disability Working Allowance Regulations
  7. 7Amendments to the Disability Working Allowance Regulations
  8. 8Amendments to the Family Credit Regulations
  9. 9Amendments to the Family Credit Regulations
  10. 10Amendments to the Family Credit Regulations
  11. 11Amendments to the Family Credit Regulations
  12. 12Amendments to the Family Credit Regulations
  13. Signature
  14. Explanatory note

1Citation, commencement and effect

(1)

These Regulations may be cited as the Tax Credits (Miscellaneous Amendments) Regulations 2003 and shall come into force on 4th February 2003.

(2)

These Regulations have effect in relation to award periods of working families’ tax credit and disabled person’s tax credit commencing on or after 4th February 2003.

2Interpretation

In these Regulations—

  • “the Disability Working Allowance Regulations” means the Disability Working Allowance (General) Regulations 1991f1;

  • “the Family Credit Regulations” means the Family Credit (General) Regulations 1987f2.

3Amendments to the Disability Working Allowance Regulations

(1)

Amend regulation 2(1) of the Disability Working Allowance Regulations (interpretation) as follows.

(2)

After the definition of “partner” insert the following definition—

  • ““paternity leave” means leave under section 80A of the Employment Rights Act 1996f1;”.

(3)

After the definitions of “statutory maternity pay” and “maternity pay period”f2 insert the following definition—

  • ““statutory paternity pay” means any payment under section 171ZA of the Contributions and Benefits Actf3;”.

4Amendments to the Disability Working Allowance Regulations

(1)

Amend regulation 6 of the Disability Working Allowance Regulations (remunerative work) as follows.

(2)

In paragraph (4) after sub-paragraph (d)f1 add–

“or

(e)

in the case of a man on paternity leave at the date of the claim, the hours worked shall be calculated on the basis of a declaration made by him of the average hours worked per week prior to the commencement of his paternity leave.”.

(3)

In paragraph (5) after sub-paragraph (e)f2 insert–

“or

(f)

cannot satisfy the requirements of sub-paragraph (a) or (b) above at the date of claim because he is on paternity leave at that date but, prior to the commencement of his paternity leave, he worked, on average, not less than 16 hours a week,”.

5Amendments to the Disability Working Allowance Regulations

(1)

Amend regulation 21 of the Disability Working Allowance Regulations (earnings of employed earners) as follows.

(2)

In paragraph (2) after sub-paragraph (d)f1 add the following sub-paragraph—

“(e)

any statutory paternity pay or a corresponding benefit under any enactment having effect in Northern Ireland.”.

6Amendments to the Disability Working Allowance Regulations

(1)

Amend regulation 51A of the Disability Working Allowance Regulations (treatment of child care charges)f1 as follows.

(2)

After paragraph (2ZA)f2 insert the following paragraph—

“(2ZB)

A person is not engaged in remunerative work for the purposes of paragraph (1) where that person is treated as being in remunerative work by virtue only of paragraph (5)(f) of regulation 6 (man on paternity leave) unless, immediately prior to the birth of the child, that person was paying, or had incurred, relevant childcare charges for another child or other children of his household.”.

7Amendments to the Disability Working Allowance Regulations

(1)

Amend Schedule 3 to the Disability Working Allowance Regulations (sums to be disregarded in the calculation of income other than earnings) as follows.

(2)

After paragraph 27 insert the following paragraph—

“(27A)

Any statutory paternity pay.”.

8Amendments to the Family Credit Regulations

(1)

Amend regulation 2(1) of the Family Credit Regulations (interpretation) as follows.

(2)

After the definition of “partner” insert the following definition—

  • ““paternity leave” means leave under section 80A of the Employment Rights Act 1996.”

(3)

After the definitions of “statutory maternity pay” and “maternity pay period”f1 insert the following definition—

  • ““statutory paternity pay” means any payment under section 171ZA of the Contributions and Benefits Act;”.

9Amendments to the Family Credit Regulations

(1)

Amend regulation 4 of the Family Credit Regulations (remunerative work) as follows.

(2)

In paragraph (4) after sub-paragraph (d)f1 add–

“or

(e)

in the case of a man on paternity leave at the date of the claim, the hours worked shall be calculated on the basis of a declaration made by him of the average hours worked per week prior to the commencement of his paternity leave.”.

(3)

In paragraph (5) after sub-paragraph (e)f2 insert–

“or

(f)

cannot satisfy the requirements of sub-paragraph (a) or (b) above because he is on paternity leave at that date but, prior to the commencement of his paternity leave, he worked, on average, not less than 16 hours a week,”.

10Amendments to the Family Credit Regulations

(1)

Amend regulation 19 of the Family Credit Regulations (earnings of employed earners) as follows.

(2)

In paragraph (2) after sub-paragraph (d)f1 add the following sub-paragraph—

“(e)

any statutory paternity pay or a corresponding benefit under any enactment having effect in Northern Ireland.”.

11Amendments to the Family Credit Regulations

(1)

Amend regulation 46A of the Family Credit Regulations (treatment of child care charges)f1 as follows.

(2)

In paragraph (2) in the definition of “relevant childcare charges”f2—

(a)

omit sub-paragraph (i), inserted by regulation 9(a) of the Tax Credits (Miscellaneous Amendments No. 4) Regulations 2002f3, and the word “or” immediately preceding it;

(b)

after sub-paragraph (j) of that paragraphf4 insert

“or

(k)

by a child care provider approved by an accredited organisation in accordance with regulation 4 of the Tax Credit (New Category of Child Care Provider) Regulations 2002f5,”.

(3)

After paragraph (2ZA)f6 insert the following paragraph—

“(2ZB)

A person is not engaged in remunerative work for the purposes of paragraph (1) where that person is treated as being in remunerative work by virtue only of paragraph (5)(f) of regulation 4 (man on paternity leave) unless, immediately prior to the birth of the child, that person was paying, or had incurred, relevant childcare charges for another child or other children of his household.”.

12Amendments to the Family Credit Regulations

(1)

Amend Schedule 2 to the Family Credit Regulations (sums to be disregarded in the calculation of income other than earnings) as follows.

(2)

After paragraph 27 insert the following paragraph—

“(27A)

Any statutory paternity pay.”.

Signature

Jim Fitzpatrick

Philip Woolas

Two of the Lords Commissioners of Her Majesty’s Treasury

14th January 2003

Nick Montagu

Tim Flesher

Two of the Commissioners of Inland Revenue

13th January 2003

Explanatory note

(This note is not part of the Regulations)

These Regulations amend the Disability Working Allowance (General) Regulations 1991 (S.I. 1991/2887) and the Family Credit (General) Regulations 1987 (S.I. 1987/1973) (“the principal Regulations”). Apart from the correction of a drafting error, the amendments are consequential on the Employment Act 2002 (c. 22) which introduced paternity leave and statutory paternity pay.

Regulation 1 provides for citation, commencement and effect, and regulation 2 for interpretation.

Regulations 3 and 8 insert definitions of “paternity leave” and “statutory paternity pay” in the principal Regulations.

Regulations 4 and 9 ensure that fathers are treated as being in remunerative work for the purposes of entitlement to working families’ tax credit or disabled person’s tax credit if they are on paternity leave at the date of the claim to the tax credit and, prior to going on paternity leave, they were working 16 hours or more per week.

Regulations 5, 7, 10 and 12 provide that statutory paternity pay is to be disregarded in calculating the earnings or other income of the claimant for the purposes of working families’ tax credit or disabled person’s tax credit.

Regulations 6 and 11(3) provide that a father on paternity leave is only entitled to assistance with child care costs if, immediately prior to the birth of the child, he was paying or had incurred the costs of eligible childcare for another child or children of the family.

Regulation 11(2) corrects a drafting error in regulation 46A of the Family Credit Regulations.