UK Statutory Instrument
2001
United Kingdom
Social Security (Contributions) Regulations 2001
At a glance
Enforced by
What this Act requires
Sections that create concrete duties on businesses or carry penalties. Procedural and definitional sections are folded into the “Browse other sections” expander at the bottom of each group. Click any section title to read the source text on legislation.gov.uk.
Schedules
Browse 226 other Schedules — structural / supplementary
Calculation of earnings
Assignment or release of a right, acquired as director or employee before 6th April 1999, to acquire shares where neither right nor shares readily convertible
Exercise of a replacement right to acquire shares, obtained as an earner before 6th April 1999
Exercise, assignment or release of share option — market value of option or resulting shares increased by things done otherwise than for genuine commercial purposes
Interpretation of paragraphs 9, 10 and 11
Apportionment of a payment to a retirement benefits scheme for the benefit of two or more people
Valuation of non-cash vouchers
Valuation of non-cash vouchers provided under optional remuneration arrangements
Apportionment of earnings comprised in a cash or non-cash voucher provided for benefit of two or more employed earners
Calculation of earnings in respect of beneficial interest in assets within Part IV of Schedule 3
Valuation of beneficial interest in units in a unit trust scheme
Conferment of a beneficial interest in an option to acquire asset falling within Part IV of Schedule 3
Readily convertible assets
Assets not readily convertible: beneficial interests in alcoholic liquor on which duty has not been paid, gemstones and certain vouchers and non-cash vouchers
Convertible and restricted interests in securities and convertible and restricted securities
Convertible interest in shares
Assignment or release of right to acquire shares where neither right nor shares readily convertible
Here “published selling price” means the lowest selling price published...
The amount shall be reduced by the amount or value,...
Here “the cost of the asset” in relation to any...
Schedule 2 para.wrapper6n2
In those paragraphs— (a) “the total market value” means the...
Armed forces early departure scheme payments
Independent advice in respect of conversions and transfers of pension scheme benefits
HM Forces’ Council Tax Relief
HM Forces’ Continuity of Education Allowance
HM Forces’ Accommodation Allowance
Payments and reimbursements of the cost of pensions advice
Compensation payments under Part 1 of the Public Service Pensions and Judicial Offices Act 2022
Recommended medical treatment
War Widows Recognition payments
Experts seconded to a body of the European Union
Expenses of MPs and other representatives
The qualifying amount of a tax redress payment in respect of an MPs’, Senedd or Assembly pension scheme
Travel expenses of members of local authorities etc
Payments made to internationally mobile employees
Payments made from the In-Work Emergency Fund
For the purposes of this paragraph none of the following...
Up-Front Childcare Fund payments
Better off in Work Credit payments
Fees relating to the Protection of Vulnerable Groups (Scotland) Scheme
Fees relating to the Disclosure and Barring Service
Advice relating to proposed employee shareholder agreements
Payments on which Class 1 or Class 1A contributions have been paid pursuant to the Social Security Contributions (Limited Liability Partnership) Regulations 2014
Post Office Horizon compensation payments
Post Office Horizon Shortfall Scheme compensation payments
Group Litigation Order nominated individual compensation payments, onward payments of Post Office compensation payments, Post Office Process Review Scheme compensation payments and Suspension Remuneration Review compensation payments
Parental Transitions Support scheme payments
Payments connected to amounts within regulation 22B
Jobs Plus Pilot payments
Horizon Convictions Redress Scheme compensation payments and Horizon Shortfall Scheme Fixed Sum Awards
Horizon Shortfall Scheme Appeals compensation payments
Post Office Capture Redress Scheme payments
Travel by unpaid directors of not-for-profit companies
Travel where directorship held as part of a trade or profession
Travel between linked employments
Meaning of “workplace” and “permanent workplace”
Travel for necessary attendance: employment intermediaries
Interpretation – qualifying childcare vouchers
Qualifying childcare vouchers for eligible employees who joined a scheme on or after 6th April 2011, or before 6th April 2011 where there has been a break in employment or a 52 week break in receiving vouchers recommencing on or after 6th April 2011
Van fuel
Amounts exempted from income tax under section 289A of ITEPA 2003
Payments exempted from income tax under section 299B of ITEPA 2003
A non-cash voucher providing for health screening or medical check-ups...
Interpretation
Payment of earnings-related contributions monthly by employer
Payments of earnings-related contributions quarterly by employer
Payments of earnings-related contributions in respect of retrospective earnings
Payments to and recoveries from HMRC for each tax period by Real Time Information employers: returns under paragraph 21E(6) or 21EA(3)
Payment of earnings-related contributions by employer (further provisions)
Whether, during the period since the employer last made a...
In cases— (a) falling within paragraph 30 of Schedule 4,...
The value of any amount which is not subject to...
The value of any deductions made from the payment which...
Payment of Class 1B contributions
Employer failing to pay earnings-related contributions
Specified amount of earnings-related contributions payable by the employer
Recovery of earnings-related contributions or Class 1B contributions
Interest on overdue earnings-related contributions or Class 1B contributions
Application of paragraphs 16 and 17 in cases of wilful failure to pay
Payment of interest on repaid earnings-related contributions or Class 1B contributions
Repayment of interest
Multiple employers
Remission of interest for official error
Application of paragraphs 10, 12, 16, 17, 18, 19 and 20
Real time returns of information about payments of ... earnings
Employees in respect of whom employer is not required to maintain a deductions worksheet
Employees paid in specified circumstances
Paragraphs 21AA and 21AB: supplementary
Benefits and expenses – returns under regulations 85 to 87 of the PAYE Regulations
Employees paid advance payments of earnings
Modification of the requirements of paragraph 21A: notional payments
Relationship between paragraph 21A and aggregation of earnings
Notifications of payments of ... earnings to and by providers of certain electronic payment methods
Exceptions to paragraph 21A
Returns under paragraphs 21A and 21D: amendments
Failure to make a return under paragraph 21A or 21D
Additional information about payments
Penalty: failure to comply with paragraph 21A or 21D
Return by employer at end of year
Notification by employer at end of year that an agreement described in paragraph 3A(2) or an election under paragraph 3B(1) of Schedule 1 to the Act has been operated in relation to a Secondary Class 1 contribution
Special return by employer at end of voyage period
Return by employer of recovery under the Statutory Sick Pay Percentage Threshold Order
Retention by employer of contribution and election records
Certificate of employer's liability to pay contributions after inspection of documents
Death of an employer
Succession to a business, etc
Payments by cheque
Interpretation of this Part
Relevant contributions debts of managed service companies
Transfer of debt of managed service company
Time limits for issue of transfer notices
Contents of transfer notice
Payment of the specified amount
Appeals
Procedure on appeals
Withdrawal of transfer notices
Application of Part 6 of the Taxes Management Act 1970
Repayment of surplus amounts
Recovery from relevant persons
Recovery of deemed employer NICs debt
The relevant period
Contents of recovery notice
Payment of deemed employer NICs debt and interest
Appeals
Withdrawal of recovery notices
Application of Part 6 of TMA
Interpretation
Requirement for security
Employers
Persons from whom security can be required
Notice of requirement
Date on which security is due
Application for reduction in the value of security held
Outcome of application under paragraph 29S
Outcome of application under paragraph 29S: further provision
Appeals
Appeals: further provision for cases which fall within paragraph 29R(2)
Offence
Interpretation of Part 3C: “relevant contributions debt” and “relevant date”
Interpretation of Part 3C: general
Liability of directors for relevant contributions debts
Appeals in relation to personal liability notices
Withdrawal of personal liability notices
Recovery of sums due under personal liability notice: application of Part 6 of Taxes Management Act 1970
Repayment of surplus amounts
Intermediate employers
Provisions for direct payment
Application of paragraphs 31 and 31A
Direct collection involving deductions working sheets
Direct collection involving deductions working sheets on and after 6th April 2014
Employer’s earnings-related contributions
Intermediaries
Continuation of proceedings etc.
Deduction of earnings-related contributions
Calculation of deduction
Records where liability transferred from secondary contributor to employed earner: relevant employment income
Certificate of contributions paid
The information specified in this Schedule is as follows and...
In so far as relevant to the relevant category letter...
In a case where the earnings the return relates to...
. . . . . . . . . ....
The amount of Class 1A contributions payable in respect of...
The amount of Class 1A contributions payable in respect of...
Information about statutory sick pay
Information about statutory maternity pay
Information about ordinary statutory paternity pay
Information about additional statutory paternity pay
. . . . . . . . . ....
Information about statutory shared parental pay
Where statutory shared parental pay has been paid during the...
Information about statutory adoption pay
Information about statutory parental bereavement pay
Information about the employer and the employee
Information about statutory neonatal care pay
For the purposes of paragraph 2, the references in paragraphs...
Information about payments to the employee, etc
The total of the amounts referred to in paragraph 3...
For the purposes of assessing earnings-related contributions based on the...
Where— (a) the earner is concurrently employed in more than...
The appropriate category letter or, as the case may be,...
For the category letter or, as the case may be,...
(1) Where the category letter or, as the case may...
If the employee is a director, in so far as...
Where regulation 8(2) applies and the appointment was in the...
The amounts specified in this Schedule are as follows and...
Deductions in respect of statutory payments
In respect of ... statutory paternity pay paid during the...
In respect of additional statutory paternity pay paid during the...
In respect of statutory shared parental pay paid during the...
In respect of statutory adoption pay paid during the year...
In respect of statutory parental bereavement pay paid during the...
In respect of statutory neonatal care pay paid during the...
. . . . . . . . . ....
Regional secondary contributions holiday for new businesses
(1) An election for the purposes of paragraph 3B(1) of...
(1) An election to which this Schedule applies shall be...
(1) Where an election to which this Schedule applies has...
Any of the regular naval, military or air forces of...
By virtue of regulation 140, Her Majesty’s forces shall not...
Royal Fleet Reserve.
Royal Naval Reserve.
Royal Marines Reserve.
Army Reserve.
Territorial Army.
Royal Air Force Reserve.
Royal Auxiliary Air Force.
The Royal Irish Regiment, to the extent that its members...
In this Schedule— “the 1998 Order” means the Social Security...
This is subject to the paragraph 2 and also to...
Introduction
Here “company” includes— (a) any body corporate constituted under the...
schedule/3/part/IV/paragraph/wrapper12n2
schedule/3/part/IV/paragraph/wrapper13n2
schedule/3/part/IV/paragraph/wrapper14n2
Here “partnership share agreement” has the meaning given in paragraph...
council tax or water or sewerage charges on accommodation provided for employee’s use
rates or water or sewerage charges on accommodation provided for employee’s use
Overseas medical treatment
Funded unapproved retirement benefit schemes.
This paragraph only applies in the case of an employee...
schedule/3/part/V/paragraph/wrapper15n2n1
Payments to miners and former miners, etc. in lieu of coal
Enactment applying in Great Britain Corresponding enactment applying in...
schedule/7/part/I/paragraph/wrapper29n2
Browse 256 other sections — procedural / definitional / commencement
Citation, commencement and interpretation
Introduction
Earnings periods
Interpretation
Earnings period for earnings normally paid or treated as paid at regular intervals
Any voucher, stamp or similar document— (a) whether used singularly...
“Short” share options granted on or after 6th April 1999
Earnings period for earnings normally paid otherwise than at regular intervals and not treated as paid at regular intervals
Warrants etc for loan stock and debentures
Travel between employments where duties performed abroad
Travel costs and expenses where duties performed abroad: earner’s travel
Travel costs and expenses where duties performed abroad: visiting spouse’s, civil partner's or child’s travel
Foreign accommodation and subsistence costs and expenses (overseas employments)
Earnings period for sums deemed to be earnings by virtue of regulations made under section 112 of the Act
Units in collective investment schemes
A non-cash voucher in respect of which no liability to...
A non-cash voucher in respect of which no liability to...
Earnings period for earnings to be aggregated where the earnings periods for those earnings otherwise would be of different lengths
Options to acquire assets, currency, precious metals or other options
Meal vouchers
Treatment of earnings paid otherwise than at regular intervals
Contracts for futures
Qualifying amounts of relevant motoring expenditure
Qualifying amounts of mileage allowance payment in respect of cycles
Qualifying amounts of passenger payment
Car fuel
Earnings periods for directors
Contracts for differences or to secure profit by reference to movements of indices
Earnings period for statutory maternity pay, statutory paternity pay, statutory adoption pay, statutory shared parental pay, statutory sick pay , statutory parental bereavement pay and statutory neonatal care pay paid by the Board
Alcoholic liquor on which duty has not been paid
Earnings limits and thresholds
Gemstones
Prescribed equivalents
Certificates etc. conferring rights in respect of assets
Calculation of earnings-related contributions
Vouchers
HM Forces’ Operational Allowance
General provisions as to aggregation
Commonwealth War Graves Commission and British Council: extra cost of living allowance
Aggregation of earnings paid in respect of separate employed earner’s employments under the same employer
Overseas medical treatment
Aggregation of earnings paid in respect of different employed earner’s employments by different persons and apportionment of contribution liability
Experts Seconded to European Commission
Aggregation of earnings paid after pensionable age
Exercise of replacement share options where original option acquired before 6th April 1999
Apportionment of single payment of earnings in respect of different employed earner’s employments by different secondary contributors
Payments resulting from exercise, assignment or release of options which are not disregarded by virtue of paragraph 16
Change of earnings period
Holiday payments
Joint employment of spouses or civil partners
Annual maxima for those with more than one employment
Amounts to be treated as earnings
Amounts to be treated as earnings in connection with the use of qualifying vehicles other than cycles
Amounts to be treated as earnings: Part 7A of ITEPA 2003
Amounts to be treated as earnings paid to or for the benefit of the earner: Schedule 11 to the Finance (No. 2) Act 2017
Manner of making sickness payments treated as remuneration
Calculation of earnings for the purposes of earnings-related contributions
Payments to be disregarded in the calculation of earnings for the purposes of earnings-related contributions
Certain payments by trustees to be disregarded
Payments to directors which are to be disregarded
Liability for Class 1 contributions in respect of earnings normally paid after pensionable age
Liability for Class 1 contributions of persons over pensionable age
Abnormal pay practices
Practices avoiding or reducing liability for contributions
Interpretation for the purposes of this Part
Exception from liability to pay Class 1A contributions in respect of cars made available to members of an employed earner’s family or household in certain circumstances
Class 1A contributions payable where two or more cars are made available concurrently
Reduction of certain Class 1A contributions in the case of a car provided or made available by reason of two or more employments or to two or more employed earners
Reduction of certain Class 1A contributions on account of the number of employments in the cases of something provided or made available by reason of two or more employments and of something provided or made available to two or more employed earners
Reduction of certain Class 1A contributions in respect of cars made available to disabled employed earners
Exception from liability to pay Class 1 contributions in respect of cars made available to disabled employed earners only for business and home to work travel
Calculation of Class 1A contributions
Prescribed general earnings in respect of which Class 1A contributions not payable
Exception from liability to pay Class 1A contributions in respect of an amount representing an amount on which Class 1 or Class 1A contributions have already been paid pursuant to the Social Security Contributions (Limited Liability Partnership) Regulations 2014
Exception from liability to pay Class 1A contributions ... in respect of sporting testimonial payments
Special provisions for reporting, payment and collection of Class 1A contributions relating to termination awards
Special provisions for reporting, payment and collection of Class 1A contributions relating to sporting testimonials
Calculation of Class 1B contributions
Exception from liability to pay Class 1B contributions
Exception from ... Class 2 contributions
Application for, and duration and cancellation of, certificates of exception
Earnings for the purposes of certificates of exception
Certificates of exception—exception from liability for, and entitlement to pay, Class 2 contributions
Return of Class 2 contributions paid by low earners
Class 3 contributions
Precluded Class 3 contributions
Conditions relating to Class 3 contributions: transfers to the Communities’ pension scheme
Class 3 contributions not paid within prescribed periods
Class 3 contributions: tax years 1996-97 to 2001-02
Class 3 contributions: tax years 1993-94 to 2007-08
Class 3 contributions: tax years 2006-07 to 2015-16: unavailability of pension statements 2013-14 to 2016-17
Disposal of contributions not properly paid
Return of contributions paid in error
Return of contributions paid in excess of maxima prescribed in regulation 21
Return of contributions: further provisions
Return of Class 1 contributions paid at the non-contracted out rate instead of at the contracted-out rate
Repayment of Class 1A contributions
Repayment of Class 1A contributions: certain earnings no longer treated as earnings for income tax purposes
Return of precluded Class 3 contributions
Repayment of Class 3A contributions
Calculation of return of contributions
Reallocation of contributions for benefit purposes
Circumstances in which two-year limit for refunds of Class 1, 1A or 1B contributions not to apply
Treatment for the purpose of contributory benefit of unpaid primary Class 1 contributions where no consent, connivance or negligence on the part of the primary contributor
Voluntary Class 2 contributions not paid within permitted period
Voluntary Class 2 contributions: tax years 1993-94 to 2007-08
Voluntary Class 2 contributions: tax years 2006-07 to 2015-16: unavailability of pension statements 2013-14 to 2016-17
Payment of contributions after death of contributor
Class 2 contributions paid late in accordance with a payment undertaking
Collection of unpaid Class 2 contributions through PAYE code
Class 2 and Class 3 contributions paid within a month from notification of amount of arrears
Class 2 and Class 3 contributions paid late through ignorance or error
Amount of Class 3 contributions payable by virtue of regulation 50A
Amount of Class 3 contributions payable after issue of a full gender recognition certificate
Voluntary Class 2 and Class 3 contributions: tax years 2016-17 and 2017-18 extension of time for payment and tax years 2016-17 to 2022-23 computation of amount
Late payment of voluntary Class 2 and 3 contributions for tax year 2005-06
Late payment of voluntary Class 2 and 3 contributions for tax year 2006-07
Amounts of Class 2 and Class 3 contributions in certain cases where earnings removed
Notification of national insurance numbers to secondary contributors
Collection and recovery of earnings-related contributions, and Class 1B contributions
Penalty for failure to make payments on time: Class 1 contributions
Penalty for failure to make payments on time: Class 1A and Class 1B contributions
Other methods of collection and recovery of earnings-related contributions
Transfer of liability from secondary contributor to employed earner: relevant employment income
Payment of Class 1A contributions
Due date for payment of a Class 1A contribution
Provisions relating to a Class 1A contribution due on succession to business
Provisions relating to Class 1A contribution due on cessation of business
Employer failing to pay a Class 1A contribution
Specified amount of a Class 1A contribution
Interest on an overdue Class 1A contribution
Payment of interest on a repaid Class 1A contribution
Repayment of interest paid on a Class 1A contribution
Remission of interest on a Class 1A contribution
Return by employer
Returns rendered electronically on another’s behalf
Penalties for failure to make a return and incorrect returns
Application of the Management Act to penalties for failure to make a return and incorrect returns
Set-off of Class 1A contributions falling to be repaid against earnings-related contributions
Requirement to give security or further security for amounts of Class 1A contributions
Special provisions relating to primary Class 1 contributions
Exception in relation to earnings to which regulation 84 applies
Special provisions relating to culpable employed earners and to secondary contributors or employers exempted by treaty etc., from enforcement of the Act or liability under it
Notification of commencement or cessation of payment of Class 2 or Class 3 contributions on or before 5th April 2009
Notification of commencement or cessation of payment of Class 2 or Class 3 contributions on or after 6th April 2009 but before 6th April 2015
Notification of commencement or cessation of self-employment or Class 3 contributions on or after 6th April 2015
Penalty for failure to notify
Disclosure
Reduction of penalty for disclosure
Special reduction
Notice of decision etc.
Double jeopardy
Notification of change of address
Method of, and time for, payment of Class 2 and Class 3 contributions etc.
Class 2 contributions for tax years up to 2014-15
Arrangements approved by the Board for method of, and time for, payment of Class 2 and Class 3 contributions
Whether information has been delivered electronically
Proof of content of electronic delivery
Proof of identity of person sending or receiving electronic delivery
Information sent electronically on behalf of a person
Proof of delivery of information sent electronically
Proof of payment sent electronically
Use of unauthorised method of electronic communications
Mandatory electronic payment
Employer in default if specified payment not received by applicable due date
Default notice and appeal
Default surcharge
Surcharge notice and appeal
Paragraph 22 return and specified payments
Mandatory use of electronic communications
Employers
Standards of accuracy and completeness
Penalties and appeals
Appeals: supplementary provisions
Interpretation
Class 2 contributions - maternity allowance
Exception from Class 4 liability of persons over pensionable age and persons not resident in the United Kingdom
Exception of divers and diving supervisors from liability for Class 4 contributions
Exception of persons under the age of 16 from liability for Class 4 contributions
Exception from Class 4 liability in respect of earnings from employed earner’s employment chargeable to income tax under Schedule D.
Exception from Class 4 liability in respect of certain amounts chargeable to income tax under Schedule D
Liability of a partner in an AIFM firm for Class 4 contributions
Deferment of Class 4 liability where such liability is in doubt
Application for deferment of Class 4 liability
General conditions for application for, and issue of, certificates of exception and deferment
Revocation of certificates of exception and deferment
Calculation of liability for, and recovery of, Class 4 contributions after issue of certificate of deferment
Annual maximum of Class 4 contributions due under section 15 of the Act
Disposal of Class 4 contributions under section 15 of the Act which are not due
Repayment of Class 4 contributions under section 15 of the Act which are not due
Class 4 liability of earners treated as self-employed earners who would otherwise be employed earners
Notification of national insurance number and recording of category letter on deductions working sheet
Calculation of earnings for the purposes of special Class 4 contributions
Notification and payment of special Class 4 contributions due
Recovery of deferred Class 4 and special Class 4 contributions after appeal, claim or further assessment under the Income Tax Acts or appeal under section 8 of the Transfer Act
Annual maximum of special Class 4 contribution
Disposal of special Class 4 contributions paid in excess or error
Return of special Class 4 contributions paid in excess or error
Interpretation
Modification of employed earner’s employment
Application of the Act and regulations
Application to employment in connection with continental shelf of Part I of the Act and so much of Part VI of the Act as relates to contributions
Application for certificate
UKCS continental shelf workers certificate holder: obligations and responsibilities
UKCS oil field licensee certificate
Interpretation of regulations 114 to 114C
Interpretation
Modification of section 162(5) of the Administration Act
Conditions of domicile or residence
Modification of employed earner’s employment
Modification of section 9(2) of the Act
Earnings periods for mariners and apportionment of earnings
Calculation of earnings-related contributions for mariners
Prescribed secondary contributors
Payments to be disregarded
Application of the Act and regulations
Modification in relation to share fishermen of Part I of the Act and so much of Part VI of the Act as relates to contributions
Interpretation
Elections by married women and widows
Duration of effect of election
Continuation of elections under regulation 91 of the 1975 Regulations
Continuation of elections on widowhood
Reduced rate of primary Class 1 contributions otherwise payable at the main primary percentage
Class 3 contributions
Certificates of election
Special transitional provisions consequent upon passing of the Social Security Pensions Act 1975
Deemed election of married women and widows excepted from contribution liability under the National Insurance Act 1965
Special transitional provisions regarding deemed elections
Application of regulations 126 to 134 to elections and revocation of elections deemed made under regulations 135 and 136
Savings
Modification of the Act
Establishments and organisations of which Her Majesty’s forces are taken to consist
Treatment of serving members of the forces as present in Great Britain
Treatment of contributions paid after that date
Special provisions concerning earnings-related contributions
Application of the Act and regulations
Condition as to residence or presence in Great Britain or Northern Ireland
Payment of contributions for periods abroad
Class 2 and Class 3 contributions for periods abroad
Conditions of payment of Class 2 or Class 3 contributions for periods abroad
Conditions of payment of Class 3 contributions: transfers to the Communities’ pension scheme
(1) This regulation applies, in relation to a tax year,...
(1) This regulation applies in relation to a person (P)—...
Interpretation
Certain volunteer development workers to be self-employed earners
Option to pay Class 2 contributions
Special provision as to residence, rate, annual maximum and method of payment
Late paid contributions
Modification of the Act and these Regulations
(1) For the purposes of section 9B (zero-rate secondary Class...
Treatment of contribution week falling in two years
Decisions taken by officers of the Inland Revenue in respect of contributions which are prescribed for the purposes of section 8(1)(m) of the Transfer Act
Northern Ireland
Revocations
This is subject to the provisions of Schedule 2 (calculation...
The provision of this regulation does not limit the operation...
Enforcement and responsible bodies
The regulators that administer or enforce this legislation.
HM Revenue & Customs
Tax collection, customs duties, national insurance, tax credits, and enforcement of the National Minimum Wage. Regulates all UK businesses for tax compliance …
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