Child Support, Pensions and Social Security Act 2000 (c. 19)

(The document as of February, 2008)

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(2) After that paragraph there shall be inserted--

" Prohibition on recovery of employer's contributions

3A (1) Subject to sub-paragraph (2) below, a person who is or has been liable to pay any secondary Class 1 or any Class 1A or Class 1B contributions shall not--

(a) make, from earnings paid by him, any deduction in respect of any such contributions for which he or any other person is or has been liable;

(b) otherwise recover any such contributions (directly or indirectly) from any person who is or has been a relevant earner; or

(c) enter into any agreement with any person for the making of any such deduction or otherwise for the purpose of so recovering any such contributions.

(2) Sub-paragraph (1) above does not apply to the extent that an agreement between--

(a) a secondary contributor, and

(b) any person ("the earner") in relation to whom the secondary contributor is, was or will be such a contributor in respect of the contributions to which the agreement relates,

allows the secondary contributor to recover (whether by deduction or otherwise) the whole or any part of any secondary Class 1 contribution payable in respect of a gain that is treated as remuneration derived from that earner's employment by virtue of section 4(4)(a) above.

(3) Sub-paragraph (2) above does not authorise any recovery (whether by deduction or otherwise)--

(a) in pursuance of any agreement entered into before 19th May 2000; or

(b) in respect of any liability to a contribution arising before the day of the passing of the Child Support, Pensions and Social Security Act 2000.

(4) In this paragraph--

"agreement" includes any arrangement or understanding (whether or not legally enforceable); and
"relevant earner", in relation to a person who is or has been liable to pay any contributions, means an earner in respect of whom he is or has been so liable.

Transfer of liability to be borne by earner

3B.--(1) This paragraph applies where--
(a)
an election is jointly made by--
(i)
a secondary contributor, and
(ii)
a person ("the earner") in relation to whom the secondary contributor is or will be such a contributor in respect of contributions on share option gains by the earner,

for the whole or a part of any liability of the secondary contributor to contributions on any such gains to be transferred to the earner; and
(b)
the election is one in respect of which the Inland Revenue have, before it was made, given by notice to the secondary contributor their approval to both--
(i)
the form of the election; and
(ii)
the arrangements made in relation to the proposed election for securing that the liability transferred by the election will be met.

(2) Any liability which--

(a) arises while the election is in force, and

(b) is a liability to pay the contributions on share option gains by the earner, or the part of them, to which the election relates,

shall be treated for the purposes of this Act, the Administration Act and Part III of the [S.I. 1999/671.] Social Security Contributions (Transfer of Functions, etc.) (Northern Ireland) Order 1999 as a liability falling on the earner, instead of on the secondary contributor.

(3) Subject to sub-paragraph (7)(b) below, an election made for the purposes of sub-paragraph (1) above shall continue in force from the time when it is made until whichever of the following first occurs, namely--

(a) it ceases to have effect in accordance with its terms;

(b) it is revoked jointly by both parties to the election;

(4) An approval given to the secondary contributor for the purposes of sub-paragraph (1)(b) above may be given either--

(a) for an election to be made by the secondary contributor and a particular person; or

(b) for all elections to be made, or to be made in particular circumstances, by the secondary contributor and particular persons or by the secondary contributor and persons of a particular description.

(5) The grounds on which the Inland Revenue shall be entitled to refuse an approval for the purposes of sub-paragraph (1)(b) above shall include each of the following--

(a) that it appears to the Inland Revenue that adequate arrangements have not been made for securing that the liabilities transferred by the proposed election or elections will be met by the person or persons to whom they would be so transferred; and

(b) that it appears to the Inland Revenue that they do not have sufficient information to determine whether or not grounds falling within paragraph (a) above exist.

(6) If, at any time after they have given an approval for the purposes of sub-paragraph (1)(b) above, it appears to the Inland Revenue--

(a) that the arrangements that were made or are in force for securing that liabilities transferred by elections to which the approval relates are met are proving inadequate or unsatisfactory in any respect, or

(b) that any election to which the approval relates has resulted, or is likely to result, in the avoidance or non-payment of the whole or any part of any secondary Class 1 contributions,

the Inland Revenue may withdraw the approval by notice to the secondary contributor.

(7) The withdrawal by the Inland Revenue of any approval given for the purposes of sub-paragraph (1)(b) above--

(a) may be either general or confined to a particular election or to particular elections; and

(b) shall have the effect that the election to which the withdrawal relates has no effect on contributions on share option gains in respect of any right to acquire shares obtained after--

(i) the date on which notice of the withdrawal of the approval is given; or

(ii) such later date as the Inland Revenue may specify in that notice.

(8) Where the Inland Revenue have refused or withdrawn their approval for the purposes of sub-paragraph (1)(b) above, the person who applied for it or, as the case may be, to whom it was given may appeal to the Special Commissioners against the Inland Revenue's decision.

(9) On an appeal under sub-paragraph (8) above the Special Commissioners may--

(a) dismiss the appeal;

(b) remit the decision appealed against to the Inland Revenue with a direction to make such decision as the Special Commissioners think fit; or

(c) in the case of a decision to withdraw an approval, quash that decision and direct that that decision is to be treated as never having been made.

(10) Subject to sub-paragraph (12) below, an election under sub-paragraph (1) above shall not apply to any contributions in respect of gains realised before it was made.

(11) Regulations made by the Inland Revenue may make provision with respect to the making of elections for the purposes of this paragraph and the giving of approvals for the purposes of sub-paragraph (1)(b) above; and any such regulations may, in particular--

(a) prescribe the matters that must be contained in such an election;

(b) provide for the manner in which such an election is to be capable of being made and of being confined to particular liabilities or the part of particular liabilities; and

(c) provide for the making of applications for such approvals and for the manner in which those applications are to be dealt with.

(12) Where--

(a) an election is made under this paragraph before the end of the period of three months beginning with the date of the passing of the Child Support, Pensions and Social Security Act 2000, and

(b) that election is expressed to relate to liabilities for contributions arising on or after 19th May 2000 and before the making of the election,

this paragraph shall have effect in relation to those liabilities as if sub-paragraph (2) above provided for them to be deemed to have fallen on the earner (instead of on the secondary contributor); and the secondary contributor shall accordingly be entitled to reimbursement from the earner for any payment made by that contributor in or towards the discharge of any of those liabilities.

(13) In this paragraph references to contributions on share option gains by the earner are references to any secondary Class 1 contributions payable in respect of a gain that is treated as remuneration derived from the earner's employment by virtue of section 4(4)(a) above.

(14) In this paragraph "the Special Commissioners" means the Commissioners for the special purposes of the Income Tax Acts. "

(3) In section 6(4) of that Act (persons by whom Class 1 contributions are payable), for the words from "paragraph 3" onwards there shall be substituted "paragraphs 3 to 3B of Schedule 1 to this Act."

(4) In paragraph 8(1) of Schedule 1 to that Act (general regulations), after paragraph (c) there shall be inserted--

" (ca) for requiring a secondary contributor to notify a person to whom any of his liabilities are transferred by an election under paragraph 3B above of--

(i) any transferred liability that arises;

(ii) the amount of any transferred liability that arises; and

(iii) the contents of any notice of withdrawal by the Inland Revenue of any approval that relates to that election; " .

(5) In Article 7(1) of the [S.I. 1999/671.] Social Security Contributions (Transfer of Functions, etc.) (Northern Ireland) Order 1999 (decisions to be taken by officers of the Inland Revenue), after sub-paragraph (i) there shall be inserted--

" (ia) to decide whether to give or withdraw an approval for the purposes of paragraph 3B(1)(b) of Schedule 1 to the Contributions and Benefits Act; " .

(6) In Article 9 of that Order (regulations about varying or superseding decisions), at the beginning of paragraph (1) there shall be inserted "Subject to paragraph (2A) below,", and after paragraph (2) there shall be inserted--

" (2A) The decisions in relation to which provision may be made by regulations under this Article shall not include decisions falling within Article 7(1)(ia) of this Order. "

(7) In Article 11(4) of that Order (appeals to be heard by General Commissioners), after "Subject to" there shall be inserted "paragraph 3B(8) of Schedule 1 to the Contributions and Benefits Act (which provides for appeals under that paragraph to be heard by the Special Commissioners), to".

Part V Miscellaneous and supplemental

Miscellaneous

82 Tests for determining parentage

(1) Part III of the [1969 c. 46.] Family Law Reform Act 1969 (tests for determining parentage) shall be amended in accordance with subsections (2) to (4).

(2) In section 20 (power of the court to require tests)--

(a) for subsections (1A) and (1B) (nomination of the person by whom tests are to be carried out) there shall be substituted--

" (1A) Tests required by a direction under this section may only be carried out by a body which has been accredited for the purposes of this section by--

(a) the Lord Chancellor, or

(b) a body appointed by him for the purpose. " ;

(b) in subsection (2)--

(i) for "person responsible for" there shall be substituted "individual", and

(ii) after "this section" there shall be inserted "("the tester")";

(d) in subsection (5)--

(i) for "the person responsible for carrying out the tests taken for the purpose of giving effect to the direction, or any" there shall be substituted "the tester, or any other",

(ii) for "that person" there shall be substituted "the tester or that other person", and

(iii) after "and where" there shall be inserted "the tester or".

(3) In section 21 (consents, etc, required for the taking of blood samples), in subsection (3), for the words "if the person who has the care and control of him consents" there shall be substituted--

" (a) if the person who has the care and control of him consents; or

(b) where that person does not consent, if the court considers that it would be in his best interests for the sample to be taken. "

(4) In section 22(1) (power of Lord Chancellor to make further provision relating to tests for determining parentage)--

(a) in paragraph (a) (power to provide that bodily samples are not to be taken except by such medical practitioners as may be appointed by the Lord Chancellor), for the words from "such medical practitioners" to the end there shall be substituted "registered medical practitioners or members of such professional bodies as may be prescribed by the regulations;", and

(b) for paragraph (e) (power to provide that scientific tests are not to be carried out except by persons appointed by the Lord Chancellor) there shall be substituted--

" (e) prescribe conditions which a body must meet in order to be eligible for accreditation for the purposes of section 20 of this Act; " .

(5) The amendments made by this section shall not have effect in relation to any proceedings pending at the commencement of this section.

83 Declarations of status

(1) Part III of the [1986 c. 55.] Family Law Act 1986 (declarations of status) shall be amended as follows.

(2) After section 55 there shall be inserted--

" 55A Declarations of parentage

(1) Subject to the following provisions of this section, any person may apply to the High Court, a county court or a magistrates' court for a declaration as to whether or not a person named in the application is or was the parent of another person so named.

(2) A court shall have jurisdiction to entertain an application under subsection (1) above if, and only if, either of the persons named in it for the purposes of that subsection--

(a) is domiciled in England and Wales on the date of the application, or

(b) has been habitually resident in England and Wales throughout the period of one year ending with that date, or

(i) was at death domiciled in England and Wales, or

(ii) had been habitually resident in England and Wales throughout the period of one year ending with the date of death.

(3) Except in a case falling within subsection (4) below, the court shall refuse to hear an application under subsection (1) above unless it considers that the applicant has a sufficient personal interest in the determination of the application (but this is subject to section 27 of the [1991 c. 48.] Child Support Act 1991).

(4) The excepted cases are where the declaration sought is as to whether or not--

(a) the applicant is the parent of a named person;

(b) a named person is the parent of the applicant; or

(5) Where an application under subsection (1) above is made and one of the persons named in it for the purposes of that subsection is a child, the court may refuse to hear the application if it considers that the determination of the application would not be in the best interests of the child.

(6) Where a court refuses to hear an application under subsection (1) above it may order that the applicant may not apply again for the same declaration without leave of the court.

(7) Where a declaration is made by a court on an application under subsection (1) above, the prescribed officer of the court shall notify the Registrar General, in such a manner and within such period as may be prescribed, of the making of that declaration. "

(3) Section 58(5)(b) (prohibition of declarations of illegitimacy) shall be omitted.

(4) After section 60(4) there shall be inserted--

" (5) An appeal shall lie to the High Court against--

(a) the making by a magistrates' court of a declaration under section 55A above,

(b) any refusal by a magistrates' court to make such a declaration, or

(5) Schedule 8 (which makes amendments consequential on subsection (1)) shall have effect.

(6) Nothing in this Act shall affect any proceedings pursuant to an application under--

(a) section 56(1)(a) of the [1986 c. 55.] Family Law Act 1986, or

(b) section 27 of the [1991 c. 48.] Child Support Act 1991,

which are pending immediately before the commencement of this section.

Supplemental

84 Expenses

There shall be paid out of money provided by Parliament--

(a) any expenditure incurred by the Secretary of State for or in connection with the carrying out of his functions under this Act; and

(b) any increase attributable to this Act in the sums which are payable out of money so provided under any other Act.

85 Repeals

(1) The enactments mentioned in Schedule 9 (which include some spent provisions) are hereby repealed to the extent specified in the third column of that Schedule.

(2) The repeals specified in that Schedule have effect subject to the commencement provisions and savings contained, or referred to, in the notes set out in that Schedule.

86 Commencement and transitional provisions

(1) This section applies to the following provisions of this Act--

(a) Part I (other than section 24);

(b) Part II (other than sections 38 and 39 and paragraphs 4 to 6, 8(1), (3) and (4) and 13 of Schedule 5);

(d) sections 82 and 83 and Schedule 8;

(e) Parts I to VII and IX of Schedule 9.

(2) The provisions of this Act to which this section applies shall come into force on such day as may be appointed by order made by statutory instrument; and different days may be appointed under this section for different purposes.

(3) The power to make an order under subsection (2) shall be exercisable--

(a) except in a case falling within paragraph (b), by the Secretary of State; and

(b) in the case of an order bringing into force any of the provisions of sections 82 and 83, Schedule 8 or Part IX of Schedule 9, by the Lord Chancellor.

(4) In the case of Part I (other than section 24) and of sections 62 to 66, the power under subsection (2) to appoint different days for different purposes includes power to appoint different days for different areas.

(5) The Secretary of State may by regulations make such transitional provision as he considers necessary or expedient in connection with the bringing into force of any of the following provisions of this Act--

(a) sections 43 to 46 and section (1) of Part III of Schedule 9;

(b) sections 68 to 70 and Schedule 7 and Part VII of Schedule 9.

(6) Regulations under subsection (5) shall be made by statutory instrument subject to annulment in pursuance of a resolution of either House of Parliament.

(7) Section 174(2) to (4) of the [1995 c. 26.] Pensions Act 1995 (supplementary provision in relation to powers to make subordinate legislation under that Act) shall apply in relation to the power to make regulations under subsection (5) as it applies to any power to make regulations under that Act.

(8) In this section "subordinate legislation" has the same meaning as in the [1978 c. 30.] Interpretation Act 1978.

87 Short title and extent

(1) This Act may be cited as the Child Support, Pensions and Social Security Act 2000.

(2) The following provisions of this Act extend to Northern Ireland--

(a) so much of section 46 as amends section 21(3) of the [1995 c. 26.] Pensions Act 1995;

(b) sections 57 to 61 (except section 60(5));

(d) sections 78 to 81;

(e) in Schedule 3, paragraphs 8 and 9, and in paragraph 11, sub-paragraph (2) (and sub-paragraph (1) so far as it relates to that sub-paragraph);

(f) paragraph 6 of Schedule 5; and

(g) this Part, except--

(i) sections 82 and 83 and Schedule 8; and

(ii) so much of this Part as gives effect to any repeal other than the repeals mentioned in subsection (3).

(3) The repeals mentioned in subsection (2)(g) (which extend to Northern Ireland) are--

(a) the repeals, in Part I of Schedule 9, that relate to the [1999 c. 10.] Tax Credits Act 1999;

(b) the repeals, in sections (1), (6) and (11) of Part III of that Schedule, that relate to--

(i) section 21(3) of the [1995 c. 26.] Pensions Act 1995;

(ii) paragraph 49(a)(ii) of Schedule 3 to the [S.I. 1995/3213 (N.I. 22).] Pensions (Northern Ireland) Order 1995; and

(iii) section 52(5) of the [1993 c. 49.] Pension Schemes (Northern Ireland) Act 1993;

(c) the repeals in Part IV of that Schedule (except so far as relating to the [1990 c. 41.] Courts and Legal Services Act 1990); and

(d) the repeals in section (2) of Part VIII of that Schedule.

(4) Subject to that, this Act does not extend to Northern Ireland.

SCHEDULES

Section 1.

SCHEDULE 1 Substituted Part I of Schedule 1 to the Child Support Act 1991

" PART I Calculation of weekly amount of child support maintenance

General rule

1 (1) The weekly rate of child support maintenance is the basic rate unless a reduced rate, a flat rate or the nil rate applies.

(2) Unless the nil rate applies, the amount payable weekly to a person with care is--

(a) the applicable rate, if paragraph 6 does not apply; or

(b) if paragraph 6 does apply, that rate as apportioned between the persons with care in accordance with paragraph 6,

as adjusted, in either case, by applying the rules about shared care in paragraph 7 or 8.

Basic rate

2 (1) The basic rate is the following percentage of the non-resident parent's net weekly income--

15% where he has one qualifying child;
20% where he has two qualifying children;
25% where he has three or more qualifying children.

(2) If the non-resident parent also has one or more relevant other children, the appropriate percentage referred to in sub-paragraph (1) is to be applied instead to his net weekly income less--

15% where he has one relevant other child;
20% where he has two relevant other children;
25% where he has three or more relevant other children.

Reduced rate

3 (1) A reduced rate is payable if--

(a) neither a flat rate nor the nil rate applies; and

(b) the non-resident parent's net weekly income is less than £200 but more than £100.

(2) The reduced rate payable shall be prescribed in, or determined in accordance with, regulations.

(3) The regulations may not prescribe, or result in, a rate of less than £5.

Flat rate

4 (1) Except in a case falling within sub-paragraph (2), a flat rate of £5 is payable if the nil rate does not apply and--

(a) the non-resident parent's net weekly income is £100 or less; or

(b) he receives any benefit, pension or allowance prescribed for the purposes of this paragraph of this sub-paragraph; or

(2) A flat rate of a prescribed amount is payable if the nil rate does not apply and--

(a) the non-resident parent has a partner who is also a non-resident parent;

(b) the partner is a person with respect to whom a maintenance calculation is in force; and

(3) The benefits, pensions and allowances which may be prescribed for the purposes of sub-paragraph (1)(b) include ones paid to the non-resident parent under the law of a place outside the United Kingdom.

Nil rate

5 The rate payable is nil if the non-resident parent--

(a) is of a prescribed description; or

(b) has a net weekly income of below £5.

Apportionment

6 (1) If the non-resident parent has more than one qualifying child and in relation to them there is more than one person with care, the amount of child support maintenance payable is (subject to paragraph 7 or 8) to be determined by apportioning the rate between the persons with care.

(2) The rate of maintenance liability is to be divided by the number of qualifying children, and shared among the persons with care according to the number of qualifying children in relation to whom each is a person with care.

Shared care--basic and reduced rate

7 (1) This paragraph applies only if the rate of child support maintenance payable is the basic rate or a reduced rate.

(2) If the care of a qualifying child is shared between the non-resident parent and the person with care, so that the non-resident parent from time to time has care of the child overnight, the amount of child support maintenance which he would otherwise have been liable to pay the person with care, as calculated in accordance with the preceding paragraphs of this Part of this Schedule, is to be decreased in accordance with this paragraph.

(3) First, there is to be a decrease according to the number of such nights which the Secretary of State determines there to have been, or expects there to be, or both during a prescribed twelve-month period.

(4) The amount of that decrease for one child is set out in the following Table--

Number of nights	Fraction to subtract
52 to 103	One-seventh
104 to 155	Two-sevenths
156 to 174	Three-sevenths
175 or more	One-half

(5) If the person with care is caring for more than one qualifying child of the non-resident parent, the applicable decrease is the sum of the appropriate fractions in the Table divided by the number of such qualifying children.

(6) If the applicable fraction is one-half in relation to any qualifying child in the care of the person with care, the total amount payable to the person with care is then to be further decreased by £7 for each such child.

(7) If the application of the preceding provisions of this paragraph would decrease the weekly amount of child support maintenance (or the aggregate of all such amounts) payable by the non-resident parent to the person with care (or all of them) to less than £5, he is instead liable to pay child support maintenance at the rate of £5 a week, apportioned (if appropriate) in accordance with paragraph 6.

Shared care--flat rate

8 (1) This paragraph applies only if--

(a) the rate of child support maintenance payable is a flat rate; and

(b) that rate applies because the non-resident parent falls within paragraph 4(1)(b) or (c) or 4(2).

(2) If the care of a qualifying child is shared as mentioned in paragraph 7(2) for at least 52 nights during a prescribed 12-month period, the amount of child support maintenance payable by the non-resident parent to the person with care of that child is nil.

Regulations about shared care

9 The Secretary of State may by regulations provide--

(a) for which nights are to count for the purposes of shared care under paragraphs 7 and 8, or for how it is to be determined whether a night counts;

(b) for what counts, or does not count, as "care" for those purposes; and

(c) for paragraph 7(3) or 8(2) to have effect, in prescribed circumstances, as if the period mentioned there were other than 12 months, and in such circumstances for the Table in paragraph 7(4) (or that Table as modified pursuant to regulations made under paragraph 10A(2)(a)), or the period mentioned in paragraph 8(2), to have effect with prescribed adjustments.

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