UKPGA-2015-5 National Insurance Contributions Act 2015 UK

for the purposes of making regulations under section 9B of SSCBA 1992 or section 9B of SSCB(NI)A 1992, at the end of the period of 2 months beginning with the day on which this Act is passed, and

for remaining purposes, on 6 April 2016.

make provision for the purpose of applying the tax-only modification in relation to national insurance contributions (with or without modifications),

make provision in relation to national insurance contributions corresponding to the tax-only modification, or

otherwise modify the Part concerned, as it has effect in relation to national insurance contributions, in consequence of, or for the purpose of making provision supplementary or incidental to, the tax-only modification.

may amend, repeal or revoke any provision of an Act or instrument made under an Act (whenever passed or made),

may make consequential, incidental, supplementary, transitional, transitory or saving provision, and

may make different provision for different cases, classes of national insurance contributions or purposes.

are to be treated as having come into force on 6 April 2014 for the purposes of inserting regulation 5A(1) to (5), (6)(a) and (7), and

come into force for the purposes of inserting regulation 5A(6)(b) on the day on which this Act is passed.

inserted by subsection (1) into the 1978 GB regulations;

inserted by subsection (2) into the 1978 NI regulations.

in subsection (5)(a), for the words from “other” to “Act 2014” substitute “ relevant legislation ”;

after subsection (5A) insert—

in subsection (5)(a), for the words from “other” to “Act 2014” substitute “ relevant legislation ”;

after subsection (5A) insert—

SSCBA 1992 is amended as follows.

In section 1 (outline of contributory system), in subsection (2)(c), omit “weekly”.

For section 11 (liability for Class 2 contributions) substitute—

omit “or (5)”;

in paragraph (a), omit “in a case falling within subsection (3) above,”;

omit paragraph (b) and the word “and” preceding it.

in the definition of “ordinary contribution”, for “under section 11(1) above” substitute “ of the amount specified in section 11(6) ”;

in the definition of “higher-rate contribution”, for the words from “under regulations” to the end substitute “ of an amount provided for in regulations under section 11(8) ”.

In section 18 (Class 4 contributions recoverable under regulations), in subsection (1)(b), for “subsection (3)” substitute “ subsection (8) ”.

In section 35A (appropriate weekly rate of maternity allowance under section 35), in subsection (5)(c)—

in sub-paragraph (i), after “she” insert “ has ”;

in sub-paragraph (ii), for “was excepted (under section 11(4) above) from liability for” substitute “ could have paid, but has not paid, ”.

In section 35B (state maternity allowance for participating wife or civil partner of self-employed earner), in subsection (1)(c), for “is liable to pay” substitute “ has paid ”.

In section 176(1)(a) (parliamentary control: instruments subject to affirmative procedure), for “section 11(3)” substitute “ section 11(8) or (9) ”.

SSCB(NI)A 1992 is amended as follows.

In section 1 (outline of contributory system), in subsection (2)(c), omit “weekly”.

For section 11 (liability for Class 2 contributions) substitute—

omit “or (5)”;

in paragraph (a), omit “in a case falling within subsection (3) above,”;

omit paragraph (b) and the word “and” preceding it.

in the definition of “ordinary contribution”, for “under section 11(1) above” substitute “ of the amount specified in section 11(6) ”;

in the definition of “higher-rate contribution”, for the words from “under regulations” to the end substitute “ of an amount provided for in regulations under section 11(8) ”.

In section 18 (Class 4 contributions recoverable under regulations), in subsection (1)(b), for “subsection (3)” substitute “ subsection (8) ”.

In section 35A (appropriate weekly rate of maternity allowance under section 35), in subsection (5)(c)—

in sub-paragraph (i), after “she” insert “ has ”;

in sub-paragraph (ii), for “was excepted (under section 11(4) above) from liability for” substitute “ could have paid, but has not paid, ”.

In section 35B (state maternity allowance for participating wife or civil partner of self-employed earner), in subsection (1)(c), for “is liable to pay” substitute “ has paid ”.

In section 172(11A) (instruments subject to Parliamentary affirmative procedure), for “11(3)” substitute “ 11(8) or (9) ”.

SSAA 1992 is amended as follows.

In section 141 (annual review of contributions), in subsection (4)—

in paragraph (a), for “section 11(1)” substitute “ section 11(2) and (6) ”;

in paragraph (b), for the words from “amount” to the end substitute “ small profits threshold for the purposes of Class 2 contributions ”.

for “section 11(1)” substitute “ section 11(2) and (6) ”;

for the words from “amount” to the end substitute “ small profits threshold for the purposes of Class 2 contributions ”.

In section 145 (power to alter primary and secondary contributions), in subsection (4)(a)—

for “section 11(1)” substitute “ section 11(2) and (6) ”;

omit “in that subsection”.

SSC(TF)A 1999 is amended as follows.

In section 4 (recovery of contributions where income tax recovery provisions not applicable)—

in paragraph (a), for “, Class 1B and Class 2” substitute “ and Class 1B ”;

after paragraph (a) insert—.

In section 8 (decisions by officers of HMRC), after subsection (1) insert—

In Schedule 3 (transfer of other functions to the Treasury or Board), omit paragraph 12.

In Schedule 9 (further consequential amendments), omit paragraphs 3 and 7(7).

The Social Security Contributions (Transfer of Functions, etc) (Northern Ireland) Order 1999 is amended as follows.

In Article 7 (decisions by officers of HMRC), after paragraph (1) insert—

In Schedule 3 (transfer of other functions to the Treasury or Board), omit paragraph 13.

In Schedule 8 (further consequential amendments), omit paragraphs 1 and 5(7).

The Social Security (Contributions) Regulations 2001 are amended as follows.

The amendments made by this Schedule, other than those mentioned in paragraph 36, have effect for the tax year 2015-16 and subsequent tax years.

The amendments made by paragraphs 4, 9(2), 13, 18(2), 27 and 31 have effect in relation to a Class 2 contribution in respect of a week in the tax year 2015-16 or a subsequent tax year.

The Treasury may by regulations made by statutory instrument make transitional or transitory provision or savings in connection with the coming into force of any of the amendments made by this Schedule.

Part 4 of FA 2014 (follower notices and accelerated payments) has effect with the following modifications.

References to tax or a relevant tax, other than references to particular taxes, include relevant contributions.

References to a charge to tax include a liability to pay relevant contributions and references to a person being chargeable to tax, or to tax being charged, are to be construed accordingly.

References to an assessment to tax include a NICs decision relating to a person's liability for relevant contributions.

References to a tax enquiry include a relevant contributions dispute.

A “relevant contributions dispute” arises if—

without making a NICs decision, HMRC notifies a person in writing that HMRC considers the person to be liable to pay an amount of relevant contributions, and

the person notifies HMRC in writing (a “notification of dispute”) that the person disputes liability for some or all of the contributions (“the disputed contributions”).

The relevant contributions dispute is in progress, in relation to the notification of dispute, during the period which—

begins with the day on which the person gives the notification of dispute, and

ends (at which point it is to be treated as completed) with the day on which—

References to a return into which a tax enquiry is in progress include a notification of dispute in relation to which a relevant contributions dispute is in progress.

References to a tax appeal include a NICs appeal.

A “NICs appeal” means—

an appeal, under section 11 of SSC(TF)A 1999 or Article 10 of the Social Security Contributions (Transfer of Functions, etc) (Northern Ireland) Order 1999 (S.I. 1999/671), against a NICs decision relating to relevant contributions, or

an appeal against any determination of—

that DOTAS provision as applied by regulations under section 132A of SSAA 1992 (disclosure of contributions avoidance arrangements);

any provision of regulations under that section that corresponds to that DOTAS provision,

The definition of “relevant tax” in section 200 (“relevant tax”) has effect as if relevant contributions were listed in it.

For the purposes of section 204 (circumstances in which a follower notice may be given), Condition B is also met if, in a relevant contributions dispute, a person disputes liability for relevant contributions on the basis mentioned in subsection (3) of that section (regardless of whether the notification of dispute was given on that basis).

in a case in which the denied advantaged can be counteracted by making a payment to HMRC, P makes that payment and notifies HMRC that P has done so, or

in any case, P takes all necessary action to enter into an agreement in writing with HMRC for the purpose of relinquishing the denied advantage.

subsections (4) to (7) and (9) to (11) of section 208 do not apply, and

the reference in section 209(3)(a) to P amending a return or claim is to be treated as a reference to P making a payment mentioned in sub-paragraph (2)(a).

any provision mentioned in subsection (4) of that section, as applied in relation to relevant contributions by regulations (whenever made);

section 98A of TMA 1970, as applied in relation to relevant contributions by regulations (whenever made);

any provision specified in regulations made by the Treasury under which a penalty can be imposed in respect of relevant contributions.

For the purposes of section 219 (circumstances in which an accelerated payment notice may be given), Condition B is also met if, in a relevant contributions dispute, a person disputes liability for relevant contributions on the basis mentioned in subsection (3) of that section (regardless of whether the notification of dispute was given on that basis).

the contributions repaid are to be treated, for the purposes of determining a person's entitlement to benefit, or the amount of a person's benefit, as not having been paid, but

that does not affect any payments of benefit made to a person before the repayment.

a person (“P”) has been given an accelerated payment notice by virtue of section 219(2)(b) (notice given when appeal pending), which has not been withdrawn, and

the appeal by virtue of which the notice could be given was a NICs appeal in relation to relevant contributions.

if no representations were made under section 222 in respect of the notice, on or before the last day of the period of 90 days beginning with the day the notice is given, and

if representations were so made, on or before whichever is later of—

the contributions repaid are to be treated, for the purposes of determining a person's entitlement to benefit, or the amount of a person's benefit, as not having been paid, but

that does not affect any payments of benefit made to a person before the repayment.

as if references to an assessment to tax were to a NICs decision relating to a person's liability for relevant contributions,

as if a reference to an appeal against an assessment to the tax concerned were a reference to an appeal against a NICs decision,

as if sub-paragraph (3)(b) of paragraph 11 were omitted (but see paragraph 20 of this Schedule), and

with any other necessary modifications.

In section 227 (withdrawal, modification or suspension of accelerated payment notice), subsection (9) has effect as if the provisions mentioned there included paragraph 18(2) of this Schedule.

In this Part of this Schedule—“accelerated payment notice” means an accelerated payment notice under Chapter 3 of Part 4 of FA 2014;“contributory benefit” means—a contributory benefit under Part 2 of SSCBA 1992, a jobseeker's allowance under JA 1995, an employment and support allowance under Part 1 of WRA 2007, state pension or a lump sum under Part 1 of PA 2014, bereavement support payment under section 30 of that Act, or any corresponding benefit in Northern Ireland;“the disputed contributions”, other than in paragraph 18, has the meaning given by paragraph 6(b);“HMRC” means Her Majesty's Revenue and Customs;“NICs appeal” has the meaning given by paragraph 10;“NICs decision” means a decision under section 8 of SSC(TF)A 1999 or Article 7 of the Social Security Contributions (Transfer of Functions, etc) (Northern Ireland) Order 1999 (S.I. 1999/671);“notification of dispute” has the meaning given by paragraph 6(b);“relevant contributions” means the following contributions under Part 1 of SSCBA 1992 or Part 1 of SSCB(NI)A 1992—Class 1 contributions; Class 1A contributions; Class 1B contributions; Class 2 contributions which a person is, or is alleged to be, liable to pay but in relation to which section 11A of the Act in question (application of certain provisions of the Income Tax Acts in relation to Class 2 contributions under section 11(2) of that Act) does not, or would not, apply;“relevant contributions dispute” has the meaning given by paragraphs 6 and 7;“statutory payment” means a statutory payment for the purposes of section 4C of SSCBA 1992 or section 4C of SSCB(NI)A 1992; and references to sections are to sections of FA 2014, unless otherwise indicated.

Part 5 of FA 2014 (promoters of tax avoidance schemes) has effect with the following modifications.

References to tax, other than in references to particular taxes, include relevant contributions.

References to a tax advantage include the avoidance or reduction of a liability to pay relevant contributions.

that DOTAS provision as applied by regulations under section 132A of SSAA 1992 (disclosure of contributions avoidance arrangements);

any provision of regulations under that section that corresponds to that DOTAS provision,

In section 253 (duty of persons to notify the Commissioners), references to a tax return include a return relating to relevant contributions that is required to be made by or under an enactment.

In section 255 (power to obtain information and documents), references to a person's tax position include the person's position as regards deductions or repayments of relevant contributions, or of sums representing relevant contributions, that the person is required to make by or under an enactment.

In section 276 (limitation of defence of reasonable care), the reference in subsection (1) to a document of a kind listed in the Table in paragraph 1 of Schedule 24 to FA 2007 includes a document, relating to relevant contributions, in relation to which that Schedule applies (and, accordingly, the reference to that Schedule in subsection (2) of that section includes that Schedule as it so applies).

The definition of “tax” in section 283(1) (interpretation) has effect as if relevant contributions were listed in it.

paragraph (a) includes a reference to a decision having been made for corresponding NICs purposes that P is to be deemed not to have failed to comply with the provision concerned as P had a reasonable excuse for not doing the thing required to be done, and

the reference in paragraph (c) to a determination is to be read accordingly.

paragraph (a) includes a reference to a decision having been made for corresponding NICs purposes that the person is to be deemed not to have failed to comply with the provision concerned as the person had a reasonable excuse for not doing the thing required to be done, and

the reference in paragraph (c) to a determination is to be read accordingly.

In this Part of this Schedule—

“NICs decision” means a decision under section 8 of SSC(TF)A 1999 or Article 7 of the Social Security Contributions (Transfer of Functions, etc) (Northern Ireland) Order 1999 (SI 1999/671);

“relevant contributions” means the following contributions under Part 1 of SSCBA 1992 or Part 1 of SSCB(NI)A 1992—

references to sections or Schedules are to sections of, or Schedules to FA 2014, unless otherwise indicated.

In section 16 of SSCBA 1992 (application of Income Tax Acts and destination of Class 4 contributions), in subsection (1), at the end of paragraph (c) insert.

for the purposes of making regulations under Part 5 of FA 2014, on the day on which this Act is passed, and

for remaining purposes, at the end of the period of 2 months beginning with the day on which this Act is passed.

Before the coming into force of the repeals in section 4C of SSCBA 1992 made by Part 1 of Schedule 14 to Welfare Reform Act 2012 c. 5>WRA 2012 (abolition of benefits superseded by universal credit), the reference in paragraph 22 to a jobseeker's allowance is to be treated as a reference to a contribution-based jobseeker's allowance (within the meaning of JA 1995).

Before the coming into force of the repeal of section 22(8) of SSCBA 1992 made by Part 1 of Schedule 14 to Welfare Reform Act 2012 c. 5>WRA 2012 (abolition of benefits superseded by universal credit), the reference in paragraph 22 to an employment and support allowance is to be treated as a reference to a contributory allowance (within the meaning of Part 1 of WRA 2007).