Social Welfare and Pensions Act 2013

Contributions by certain persons

3. (1) Chapter 5B (inserted by section 6 of the Social Welfare and Pensions (Miscellaneous Provisions) Act 2013 ) of Part 2 of the Principal Act is amended—

(a) in section 30E—

(i) by inserting the following subsection after subsection (1):

“(1A) This Chapter applies to—

(a) an employed contributor, and

(b) a person who is in receipt of a pension arising from a previous employment of that person or of his or her spouse or civil partner,

where such employed contributor or such person—

(i) has attained the age of 16 years but has not attained pensionable age, and

(ii) in a contribution year receives income referred to in subsection (3).”,

and

(ii) by inserting the following subsections after subsection (2):

“(3) The income received by an employed contributor referred to in subsection (1A)(a) or a person referred to in subsection (1A)(b) in a contribution year to which subsection (1A) refers is unearned reckonable income where such employed contributor or person does not have—

(a) reckonable emoluments, or

(b) reckonable income to which—

(i) Chapter 3 of Part 4, or

(ii) Part 43,

of the Act of 1997 applies,

in that contribution year.

(4) In subsection (3) ‘unearned reckonable income’ means reckonable income other than reckonable income to which—

(a) Chapter 3 of Part 4, or

(b) Part 43,

of the Act of 1997 applies.”,

(b) in section 30F—

(i) in subsection (1), by substituting “Subject to subsection (1A), a person” for “An employed contributor”,

(ii) by inserting the following subsection after subsection (1):

“(1A) A contribution shall not be payable in accordance with this Chapter in respect of reckonable income referred to in section 30E(2) or unearned reckonable income referred to in section 30E(3) for any contribution year in which a person to whom this Chapter applies is not a chargeable person within the meaning of section 959A of the Act of 1997.”,

and

(iii) in subsection (4)(a), by substituting “a person” for “an employed contributor” in each place in which it occurs,

and

(c) in section 30G—

(i) in subsection (1)(f)—

(I) by substituting “a person” for “an employed contributor”, and

(II) by substituting “by the person” for “by the contributor”,

and

(ii) in subsection (4)—

(I) by substituting “classes of person” for “classes of employed contributors”, and

(II) by substituting “that person” for “that employed contributor”.

(2) Subsection (1), in so far as it relates to liability for a contribution under section 30F(1) (amended by paragraph (b) of that subsection) of the Principal Act, applies in respect of any unearned reckonable income referred to in section 30E(3) received by a person referred to in subsection (1A) of section 30E of the Principal Act (inserted by paragraph (a) of subsection (1))—

(a) in respect of the contribution year commencing on 1 January 2014, and

(b) in respect of each subsequent contribution year.

(3) This section comes into operation on 1 January 2014.