Change 1 Article Choose an article Title and introductory text 1 Outline of contributory system. 2 Categories of earners. 3 “Earnings" and “earner". 4 Payments treated as remuneration and earnings. 4A Earnings of workers supplied by service companies etc. 4AA Limited liability partnerships 4B Earnings: power to make retrospective provision in consequence of retrospective tax legislation 4C Power to make provision in consequence of provision made by or by virtue of section 4B(2) etc 5 Earnings limits and thresholds for Class 1 contributions. 6 Liability for Class 1 contributions. 6A Notional payment of primary Class 1 contribution where earnings not less than lower earnings limit. 7 “Secondary contributor". 8 Calculation of primary Class 1 contributions. 9 Calculation of secondary Class 1 contributions. 9A The age-related secondary percentage 9B Zero-rate secondary Class 1 contributions for certain apprentices 10 Class 1A contributions ... 10ZA Liability of third party provider of benefits in kind. 10ZB Non-cash vouchers provided by third parties. 10ZBA Liability of third party controller of sporting testimonial 10ZC Class 1A contributions: power to make provision in consequence of retrospective tax legislation 10A Class 1B contributions 11 Class 2 contributions 11A Relevant profits to be included in self assessment tax return 12 Late paid Class 2 contributions. 13 Class 3 contributions. 13A Right to pay additional Class 3 contributions in certain cases 14 Restriction on right to pay Class 3 contributions. 14A Class 3A contributions in return for units of additional pension 14B Class 3A contributions: repayment 14C Class 3A contributions: power to change eligibility or remove the option to pay 15 Class 4 contributions recoverable under the Income Tax Acts. 16 Application of Income Tax Acts and destination of Class 4 contributions. 17 Exceptions, deferment and incidental matters relating to Class 4 contributions. 18 Class 4 contributions recoverable under regulations. 18A Class 4 contributions: partnerships 19 General power to regulate liability for contributions. 19A Class 1, 1A or 1B contributions paid in error 19B Extended meaning of “benefit” etc in Part 1 20 Descriptions of contributory benefits. 21 Contribution conditions. 22 Earnings factors. 23 Provisions supplemental to sections 21 and 22. 23A Contributions credits for relevant parents and carers 24 Records of earnings and calculation of earnings factors in absence of records. 25 Unemployment benefit. 25A Determination of days for which unemployment benefit is payable. 25B Power to amend provisions as to days of entitlement. 26 Duration of unemployment benefit. 27 Interruption of employment in connection with trade dispute. 28 Unemployment benefit - other disqualifications etc. 29 Exemptions from disqualification for unemployment benefit. 30 Abatement of unemployment benefit on account of payments of occupational or personal pension. 30A Incapacity benefit: entitlement. 30B Incapacity benefit: rate. 30C Incapacity benefit: days and periods of incapacity for work. 30D Incapacity benefit: construction of references to days of entitlement. 30DD Incapacity benefit: reduction for pension payments and PPF periodic payments. 30E Incapacity benefit: reduction for councillor’s allowance. 31 Sickness benefit. 32 Sickness benefit - disqualifications etc. 33 Invalidity pension. 34 Invalidity allowance. 35 State maternity allowance for employed or self-employed earner. 35A Appropriate weekly rate of maternity allowance under section 35. 35B State maternity allowance for participating wife or civil partner of self-employed earner 36 Bereavement payment. 36A Cases in which sections 37 to 41 apply. 37 Widowed mother’s allowance : deaths before 9 April 2001. 38 Widow’s pension : deaths before 9 April 2001. 39 Rate of widowed mother’s allowance and widow’s pension. 39A Widowed parent’s allowance. 39B Bereavement allowance where no dependent children. 39C Rate of widowed parent’s allowance ... 40 Long-term incapacity benefit for widows. 41 Long-term incapacity benefit for widowers. 42 Entitlement under s. 40 or 41 after period of employment or training for work. 43 Persons entitled to more than one retirement pension. 44 Category A retirement pension. 44A Deemed earnings factors. 44B Deemed earnings factors: 2010-11 onwards 44C Earnings factor credits 45 The additional pension in a Category A retirement pension. 45AA Effect of working families' tax credit and disabled person's tax credit on earnings factor 45A Effect of family credit and disability working allowance on earnings factor 45B Reduction of additional pension in Category A retirement pension: pension sharing. 46 Modifications of section 45 for calculating the additional pension in certain benefits. 47 Increase of Category A retirement pension for invalidity. 48 Use of former spouse’s contributions. 48A Category B retirement pension for married person or civil partner 48AA Category B retirement pension for divorcee or former civil partner 48B Category B retirement pension for widows and widowers. 48BB Category B retirement pension: entitlement by reference to benefits under section 39A or 39B. 48C Category B retirement pension: general. 49 Category B retirement pension for women. 50 Rate of Category B retirement pension for women. 51 Category B retirement pension for widows, widowers and surviving civil partners who attained pensionable age before 6 April 2010 51ZA Special provision for married person whose spouse changed gender 51A Special provision for married people. 52 Special provision for surviving spouses. 53 Special provision for married women. 54 Category A and Category B retirement pensions: supplemental provisions. 55 Pension increase or lump sum where entitlement to retirement pension is deferred 55A Shared additional pension because of an old state scheme pension credit 55AA Shared additional pension because of a new state scheme pension credit 55B Reduction of shared additional pension: pension sharing. 55C Pension increase or lump sum where entitlement to shared additional pension is deferred 56 Child’s special allowance - existing beneficiaries. 57 Determination of days for which benefit is payable. 58 Incapacity for work: work as councillor to be disregarded. 59 Invalidity benefit— disqualifications etc. 60 Complete or partial failure to satisfy contribution conditions. 60A Failure to satisfy contribution condition in paragraph 5A of Schedule 3 61 Exclusion of increase of benefit for failure to satisfy contribution condition. 61ZA Shortfall in contributions: people with units of additional pension 61ZB Shortfall in contributions: people whose dead spouse had units of additional pension 61ZC Entitlement to more than one pension: sections 61ZA and 61ZB 61A Contributions paid in error 62 Graduated retirement benefit. 63 Descriptions of non-contributory benefits. 64 Entitlement. 65 Period and rate of allowance. 66 Attendance allowance for the terminally ill. 67 Exclusions by regulation. 68 Entitlement and rate. 69 Severe disablement allowance: age related addition. 70 Carer’s allowance. 71 Disability living allowance. 72 The care component. 73 The mobility component. 74 Mobility component for certain persons eligible for invalid carriages. 75 Persons who have attained pensionable age 76 Disability living allowance - supplementary. 77 Guardian’s allowance. 78 Category C and Category D retirement pensions and other benefits for the aged. 79 Age addition. 80 Beneficiary’s dependent children. 81 Restrictions on increase - child not living with beneficiary etc. 82 Short-term benefit: increase for adult dependants. 83 Pension increase (wife) 84 Pension increase (husband). 85 Pension increase (person with care of children). 86 Increase of woman’s invalidity pension (husband). 86A Incapacity benefit: increase for adult dependants. 87 Rate of increase where associated retirement pension is attributable to reduced contributions. 88 Increases to be in respect of only one adult dependant. 89 Earnings to include occupational and personal pensions etc. for purposes of provisions relating to increases of benefits in respect of ... adult dependants. 90 Beneficiaries under sections 68 and 70. 91 Effect of trade disputes on entitlement to increases. 92 Dependency increases: continuation of awards in cases of fluctuating earnings. 93 Dependency increases on termination of employment after period of entitlement to disability working allowance. 94 Right to industrial injuries benefit. 95 Relevant employments. 95A Employment training schemes etc 96 Persons treated as employers for certain purposes. 97 Accidents in course of illegal employments. 98 Earner acting in breach of regulations, etc. 99 Earner travelling in employer’s transport. 100 Accidents happening while meeting emergency. 101 Accident caused by another’s misconduct etc. 102 Sickness benefit in respect of industrial injury. 103 Disablement pension. 104 Increase where constant attendance needed. 105 Increase for exceptionally severe disablement. 106 Benefits and increases subject to qualifications as to time. 107 Adjustments for successive accidents. 108 Benefit in respect of prescribed industrial diseases, etc. 109 General provisions relating to benefit under section 108. 110 Respiratory diseases. 111 Workmen’s compensation etc. 112 Certain sums to be earnings. 113 General provisions as to disqualification and suspension. 114 Persons maintaining dependants, etc. 115 Crown employment - Parts I to VI. 116 Her Majesty’s forces. 117 Mariners, airmen, etc. 118 Married women and widows. 119 Persons outside Great Britain. 120 Employment at sea (continental shelf operations). 121 Treatment of certain marriages. 122 Interpretation of Parts I to VI and supplementary provisions. 123 Income-related benefits. 124 Income support. 125 Severe hardship cases. 126 Trade disputes. 127 Effect of return to work. 128 Family credit. 129 Disability working allowance. 130 Housing benefit. 130A Appropriate maximum housing benefit 130B Loss of housing benefit following eviction on certain grounds 130C Relevant orders for possession 130D Loss of housing benefit: supplementary 130E Couples 130F Information provision 130G Pilot schemes relating to loss of housing benefit 131 Council tax benefit. 132 Couples. 133 Polygamous marriages. 134 Exclusions from benefit. 135 The applicable amount. 136 Income and capital. 136A Effect of attaining qualifying age for state pension credit 137 Interpretation of Part VII and supplementary provisions. 138 Payments out of the social fund. 139 Awards by social fund officers. 140 Principles of determination. 140A Entitlement 140B Amount 141 Child benefit. 142 “Child” and “qualifying young person” 143 Meaning of “person responsible for child or qualifying young person". 144 Exclusions and priority. 145 Rate of child benefit. 145A Entitlement after death of child or qualifying young person 146 Presence in Great Britain 146A Persons subject to immigration control 147 Interpretation of Part IX and supplementary provisions. 148 Entitlement of pensioners to Christmas bonus. 149 Provisions supplementary to section 148. 150 Interpretation of Part X. 151 Employer’s liability. 152 Period of incapacity for work. 153 Period of entitlement. 154 Qualifying days. 155 Limitations on entitlement. 156 Notification of incapacity for work. 157 Rates of payment. 158 Recovery by employers of amounts paid by way of statutory sick pay. 159 Power to substitute provisions for s. 158(2). 159A Power to provide for recovery by employers of sums paid by way of statutory sick pay. 159B Funding of employers' statutory sick pay liabilities in relation to coronavirus 160 Relationship with benefits and other payments, etc. 161 Crown employment - Part XI. 162 Special classes of persons. 163 Interpretation of Part XI and supplementary provisions. 164 Statutory maternity pay - entitlement and liability to pay. 165 The maternity pay period. 166 Rate of statutory maternity pay 167 Funding of employers’ liabilities in respect of statutory maternity pay 168 Relationship with benefits and other payments etc. 169 Crown employment - Part XII. 170 Special classes of persons. 171 Interpretation of Part XII and supplementary provisions. 171ZA Entitlement: birth 171ZB Entitlement: adoption 171ZC Entitlement: general 171ZD Liability to make payments 171ZE Rate and period of pay 171ZEA Entitlement to additional statutory paternity pay: birth 171ZEB Entitlement to additional statutory paternity pay: adoption 171ZEC Entitlement to additional statutory paternity pay: general 171ZED Liability to make payments of additional statutory paternity pay 171ZEE Rate and period of pay: additional statutory paternity pay 171ZF Restrictions on contracting out 171ZG Relationship with contractual remuneration 171ZH Crown employment-Part 12ZA 171ZI Special classes of person 171ZJ Part 12ZA: supplementary 171ZK Power to apply Part 12ZA ... 171ZL Entitlement 171ZM Liability to make payments 171ZN Rate and period of pay 171ZO Restrictions on contracting out 171ZP Relationship with benefits and other payments etc 171ZQ Crown employment-Part 12ZB 171ZR Special classes of person 171ZS Part 12ZB: supplementary 171ZT Power to apply Part 12ZB ... 171ZU Entitlement: birth 171ZV Entitlement: adoption 171ZW Entitlement: general 171ZX Liability to make payments 171ZY Rate and period of pay 171ZZ Restrictions on contracting out 171ZZ1 Relationship with contractual remuneration 171ZZ2 Crown employment 171ZZ3 Special classes of person 171ZZ4 Part 12ZC: supplementary 171ZZ5 Power to apply Part 12ZC 171ZZ6 Entitlement 171ZZ7 Entitlement: supplementary 171ZZ8 Liability to make payments 171ZZ9 Rate and period of pay 171ZZ10 Restrictions on contracting out 171ZZ11 Relationship with contractual remuneration 171ZZ12 Crown employment 171ZZ13 Special classes of person 171ZZ14 Supplementary 171ZZ15 Application in relation to stillbirths 171ZZ16 Entitlement 171ZZ17 Entitlement: supplementary 171ZZ18 Liability to make payments 171ZZ19 Rate and period of pay 171ZZ20 Restrictions on contracting out 171ZZ21 Relationship with contractual remuneration 171ZZ22 Crown employment 171ZZ23 Special classes of person 171ZZ24 Supplementary 171A Test of incapacity for work. 171B The own occupation test. 171C Personal capability assessments. 171D Incapacity for work: persons to be treated as incapable or capable of work. 171E Incapacity for work: disqualification, &c. 171F Incapacity for work: work as councillor to be disregarded. 171G Incapacity for work: supplementary provisions. 172 Application of Act in relation to territorial waters. 173 Age. 174 References to Acts. 175 Regulations, orders and schemes. 176 Parliamentary control. 177 Short title, commencement and extent. SCHEDULE 1 Supplementary provisions relating to contributions of Classes 1, 1A, 1B, 2 , 3 and 3A SCHEDULE 2 Levy of Class 4 contributions with income tax SCHEDULE 3 Contribution conditions for entitlement to benefit SCHEDULE 4 Rates of benefits, etcNote: This Schedule is subject to alteration by orders made by the Secretary of State under Part X of the Administration Act. SCHEDULE 4A Additional pension: accrual rates for purposes of section 45(2)(c) SCHEDULE 4B Additional pension: accrual rates for purposes of section 45(2)(d) SCHEDULE 5 PENSION INCREASE OR LUMP SUM WHERE ENTITLEMENT TO RETIREMENT PENSION IS DEFERRED SCHEDULE 5A Pension increase or lump sum where entitlement to shared additional pension is deferred SCHEDULE 6 Assessment of extent of disablement SCHEDULE 7 Industrial injuries benefits SCHEDULE 8 Industrial injuries and diseases (Old Cases) SCHEDULE 9 Exclusions from entitlement to child benefit SCHEDULE 10 Priority between persons entitled to child benefit SCHEDULE 11 Circumstances in which periods of entitlement to statutory sick pay do not arise SCHEDULE 12 Relationship of statutory sick pay with benefits and other payments, etc SCHEDULE 13 Relationship of statutory maternity pay with benefits and other payments etc TABLE OF DERIVATIONS
What to do with it
As published
16 Application of Income Tax Acts and destination of Class 4 contributions.
(1) All the provisions of the Income Tax Acts, including in particular—
(a) provisions as to assessment, collection, repayment and recovery, and
(b) the provisions of Part VA (payment of tax) and Part X (penalties) of the Taxes Management Act 1970, and
(c) the provisions of Schedules 55 and 56 to the Finance Act 2009 and of Schedule 38 to the Finance Act 2012, and
(d) the provisions of Part 4 (follower notices and accelerated payments) and Part 5 (promoters of tax avoidance schemes) of the Finance Act 2014, and
(e) the provisions of Schedule 18 to the Finance Act 2016 (serial tax avoidance), and
(f) the provisions of Schedules 24 to 26 to the Finance Act 2021 (penalties),
shall, with the necessary modifications, apply in relation to Class 4 contributions under this Act and the Northern Ireland Contributions and Benefits Act as if those contributions were income tax chargeable under Chapter 2 of Part 2 of the Income Tax (Trading and Other Income) Act 2005 in respect of the profits of a trade, profession or vocation which is not carried on wholly outside the United Kingdom.
(2) Subsection (1) above is subject to any provision made by or under—
(a) sections 17(3) and (4) and 18 below;
(b) sections 17(3) and (4) and 18 of the Northern Ireland Contributions and Benefits Act; and
(c) Schedule 2 to this Act.
(3) Schedule 2 to this Act has effect for the application or modification, in relation to Class 4 contributions under this Act and the Northern Ireland Contributions and Benefits Act, of certain provisions of the Income Tax Acts, and the exclusion of other provisions, and generally with respect to the contributions.
(4) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
(5) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Your wording
Your change, as a redline
16 Application of Income Tax Acts and destination of Class 4 contributions.
(1) All the provisions of the Income Tax Acts, including in particular—
(a) provisions as to assessment, collection, repayment and recovery, and
(b) the provisions of Part VA (payment of tax) and Part X (penalties) of the Taxes Management Act 1970, and
(c) the provisions of Schedules 55 and 56 to the Finance Act 2009 and of Schedule 38 to the Finance Act 2012, and
(d) the provisions of Part 4 (follower notices and accelerated payments) and Part 5 (promoters of tax avoidance schemes) of the Finance Act 2014, and
(e) the provisions of Schedule 18 to the Finance Act 2016 (serial tax avoidance), and
(f) the provisions of Schedules 24 to 26 to the Finance Act 2021 (penalties),
shall, with the necessary modifications, apply in relation to Class 4 contributions under this Act and the Northern Ireland Contributions and Benefits Act as if those contributions were income tax chargeable under Chapter 2 of Part 2 of the Income Tax (Trading and Other Income) Act 2005 in respect of the profits of a trade, profession or vocation which is not carried on wholly outside the United Kingdom.
(2) Subsection (1) above is subject to any provision made by or under—
(a) sections 17(3) and (4) and 18 below;
(b) sections 17(3) and (4) and 18 of the Northern Ireland Contributions and Benefits Act; and
(c) Schedule 2 to this Act.
(3) Schedule 2 to this Act has effect for the application or modification, in relation to Class 4 contributions under this Act and the Northern Ireland Contributions and Benefits Act, of certain provisions of the Income Tax Acts, and the exclusion of other provisions, and generally with respect to the contributions.
(4) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
(5) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
A proposal here is not law. Support on Solon is evidence that people want the change; the official route says what it takes to make it law.