Income Tax (Employments) Regulations 1993
| Jurisdiction | UK Non-devolved |
| Citation | SI 1993/744 |
| Year | 1993 |
1993 No. 744
INCOME TAX
The Income Tax (Employments) Regulations 1993
Made 16th March 1993
Laid before the House of Commons 16th March 1993
Coming into force 6th April 1993
The Commissioners of Inland Revenue, in exercise of the powers conferred on them by sections 203, 204 and 824(5) of the Income and Corporation Taxes Act 19881, and section 98A(1) of the Taxes Management Act 19702, hereby make the following Regulations:
PART I
INTRODUCTORY
Citation and commencement
1.—(1) These Regulations may be cited as the Income Tax (Employments) Regulations 1993.
(2) These Regulations shall come into force on 6th April 1993 immediately after the Income Tax (Employments) (No. 24) Regulation 19933, the Income Tax (Employments) (No. 25) Regulations 19934and the Income Tax (Employments) (No. 26) Regulations 19935.
Interpretation
2.—(1) In these Regulations unless the context otherwise requires–
“additional pay” means the appropriate amount required by a code authorisation to be added to the emoluments paid to an employee in order to determine the taxable emoluments;
“allowable superannuation contributions” means any sum paid by an employee by way of contribution towards a superannuation fund or scheme which is allowed to be deducted as an expense under Schedule E;
“basic rate” has the same meaning as in section 832(1) of the Taxes Act;
“the Board” means the Commissioners of Inland Revenue;
“code” means any part of the tax tables in which all the amounts of free emoluments or additional pay for any period have been calculated on the basis of the same total amount for the whole year, and references to code include any designation thereof by numbers and letters, alone or in combination;
“code authorisation” means a notice specifying the appropriate code given by an inspector to an employer;
“collector” means a collector of taxes;
“cumulative additional pay”, in relation to any date, means the sum of the additional pay from the beginning of the year up to and including that date;
“cumulative emoluments”, in relation to any date, means the sum of all payments of emoluments made by the employer to the employee from the beginning of the year up to and including that date;
“cumulative free emoluments”, in relation to any date, means the sum of the free emoluments from the beginning of the year up to and including that date;
“cumulative tax” means the tax due in accordance with the appropriate tax tables in respect of any cumulative taxable emoluments at the relevant date;
“cumulative taxable emoluments”, in relation to any date, means the cumulative emoluments reduced by the cumulative free emoluments or, as the case may be, increased by the cumulative additional pay;
“deductions working sheet” means any form of record on or in which are to be kept the matters required by these Regulations in connection with an employee’s emoluments and tax, or, in regulations 20 and 104, the form issued by the inspector for the purpose of keeping that record;
“earnings-related contributions” means contributions payable under the Social Security Contributions and Benefits Act 19926or, in Northern Ireland, the Social Security Contributions and Benefits (Northern Ireland) Act 19927by or in respect of an employed earner in respect of employed earner’s employment;
“emoluments” means the full amount of any income to be taken into account in assessing liability under Schedule E after the deduction of—
(a) allowable superannuation contributions, and
(b) any sum withheld from an employee in accordance with section 202 of the Taxes Act8,
and references to payments of emoluments include references to payments on account of emoluments;
“employed earner” and “employed earner’s employment” have the same meaning as in the Social Security Contributions and Benefits Act 1992, or, in Northern Ireland, the Social Security Contributions and Benefits (Northern Ireland) Act 1992;
“employee” means any person in receipt of emoluments;
“employer” means any person paying emoluments;
“free emoluments” means the appropriate amount of any emoluments of the employee which qualify for relief from income tax;
“higher rate” has the same meaning as in section 832(1) of the Taxes Act9;
“income tax month” means the period beginning on the 6th day of any calendar month and ending on the 5th day of the following calendar month;
“income tax period” means income tax quarter where regulation 41 has effect, but otherwise means income tax month;
“income tax quarter” means the period beginning on the 6th day of April and ending on the 5th day of July, or beginning on the 6th day of July and ending on the 5th day of October, or beginning on the 6th day of October and endingon the 5th day of January or beginning on the 6th day of January and ending on the 5th day of April;
“inspector” means an inspector of taxes;
“lower rate” has the same meaning as in section 832(1) of the Taxes Act10;
“the Management Act” means the Taxes Management Act 197011;
“notice” means notice in writing;
“overriding limit” means the limit on the amount of tax to be deducted from a payment of emoluments where the tax due in accordance with the appropriate tax tables in respect of any taxable emoluments at the relevant date has been calculated by reference to additional pay, and that limit shall be an amount equal to 50 per cent. of the amount of the emoluments paid;
“pension emoluments” means any payment of emoluments comprising a pension or annuity assessable to income tax under Schedule E;
“previous cumulative tax” means the cumulative tax corresponding to the employee’s cumulative emoluments at the later of the date of the last preceding payment of emoluments or the date last treated as the occasion on which emoluments were paid;
“reliefs from income tax” includes allowances and deductions but not allowable superannuation contributions;
“tax not deducted” means tax due in accordance with the appropriate tax tables in respect of any taxable emoluments at the relevant date which as a consequence of the overriding limit has not been deducted;
“tax tables” means the tax tables prepared by the Board under section 203 of the Taxes Act, and “simplified tax tables” means such of those tax tables as are prepared by the Board for use where, under regulation 20, tax is deductible without reference to cumulative emoluments and cumulative tax;
“taxable emoluments” means emoluments reduced by free emoluments or, as the case may be, increased by additional pay;
“the Taxes Act” means the Income and Corporation Taxes Act 198812;
“total net tax deducted”, in relation to the emoluments paid to any employee during any period, means the total tax deducted from those emoluments less any tax repaid to the employee;
“trade dispute” has the meaning given by section 27(3) of the Social Security Contributions and Benefits Act 1992 or, in Northern Ireland, section 27(3) of the Social Security Contributions and Benefits (Northern Ireland) Act 1992;
“year” means year of assessment and “current year” shall be construed accordingly.
(2) The table below indexes other general definitions in these Regulations—
Term defined |
Regulation |
the minimum rate |
28(2) |
the prescribed place |
55(3) |
the reckonable date |
51(3). |
PART II
GENERAL PROVISIONS RELATING TO EMPLOYERS
Multiple employers
3.—(1) Where an employer so elects, he shall be treated for all the purposes of these Regulations as if in respect of each group of his employees specified in the election he were a different employer, that is to say, as if each such group constituted all his employeesand in particular, but without prejudice to the generality of the foregoing—
(a)
(a) each such group shall be treated for those purposes as employed in a separate undertaking from that in which any other such group is employed, and
(b)
(b) an employee ceasing to be employed in one such group and commencing employment in another such group shall be treated for those purposes as having ceased to be employed by the employer and having commenced an employment with a new employer.
(2) An election under this regulation must be made by notice to the inspector and any such notice shall contain—
(a)
(a) such information as may be necessary to identify the groups of employees concerned,and
(b)
(b) a certificate that the employer has no employees other than those in the groups so identified.
(3) Subject to paragraph (4), an election shall have effect for the year following that in which it is made and, unless revoked, shall also have effect for any subsequent year.
(4) Where an employer acquires the whole or a part of any trade, business, concern or undertaking of another employerand within 90 days of the acquisition elects under this regulation to be treated as a separate employer in respect of the group of employees employed in the acquired trade, business, concern or undertakingand his existing employees or, where an election is already in force in respect of them, each group of his existing employees, that election shall have effect for the year in which the acquisition takes placeand any subsequent year.
(5) An election in force for any year may be revoked by notice to the inspectorand any such revocation shall have effect for the year following that in which notice of it is givenand any subsequent year, but shall not prejudice the making of a fresh election for that following or any subsequent year.
Intermediate employers
4.—(1) Where an employee works under the general controland management of a person who is not his immediate employer, that person (in this regulationand in regulation 5 referred to as “the principal employer”) shall be deemed to be the employer for the purposes of these Regulations.
(2) The immediate employer shall furnish the...
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