1 Citation, commencement and effect

These Regulations may be cited as the Social Security Contributions and Benefits Act 1992 (Modification of Section 10(7B)) Regulations 2007, shall come into force on 5th April 2007 and shall have effect in relation to the tax year beginning on 6th April 2006 and subsequent tax years.

NOTES
Initial Commencement
Specified date

Specified date: 5 April 2007: see above.

2 Modification of Section 10(7B) of the Social Security Contributions and Benefits Act 1992

2Modification of Section 10(7B) of the Social Security Contributions and Benefits Act 1992

In section 10(7B) of the Social Security Contributions and Benefits Act 1992—

(a)    at the end of paragraph (a) omit “and”; and

(b)    after paragraph (a) insert—

“(aa)    any of sections 363 to 365 of ITEPA 2003 (certain deductions from benefits code earnings), or”.

NOTES
Initial Commencement
Specified date

Specified date: 5 April 2007: see reg 1.

Signature

Dave Watts

Alan Campbell

Two of the Lords Commissioners of Her Majesty's Treasury

12th March 2007

EXPLANATORY NOTE

EXPLANATORY NOTE (This note is not part of the Regulations)

These Regulations modify the list of provisions contained in section 10(7B) of the Social Security Contributions and Benefits Act 1992 (c 4) (“the 1992 Act”). Section 10 was substituted by section 74(2) of the Child Support, Pensions and Social Security Act 2000 (c 19) (“the 2000 Act”) and subsequently amended by paragraph 174 of Schedule 6 to, the Income Tax (Earnings and Pensions) Act 2003 (c 1) (“the 2003 Act”).

Regulation 1 provides for the citation, commencement and effect of the Regulations. These Regulations apply to the tax year beginning on 6th April 2006 and subsequent tax years.

Regulation 2 modifies section 10(7B) by inserting references to sections 363, 364 and 365 of the 2003 Act.

The effect of the modifications is to clarify that there is a deduction from the amount to be brought into charge to Class 1A contributions where a deduction is allowed under section 363, 364 or 365 of the 2003 Act and the amount deductible is at least equal to the whole of any corresponding amount which would otherwise be brought into charge to Class 1A contributions. The purpose of this modification is to ensure that the consequential amendments made to section 10(7B) of the 1992 Act following the introduction of the 2003 Act replicate the original provisions.

A full regulatory impact assessment has not been produced for this instrument as no impact on the private or voluntary sectors is foreseen.

Pensions Law98 Welfare, Housing & Social Security Law92 Personal Taxes98 Employment & Labour Law95 Employment Taxes95 Contributions92 Income Tax98 Pensions Taxation98 Tax Law98 Pensions Income98 Employment Income95