Pension Schemes (Northern Ireland) Act 1993

Minimum contributions: members of appropriate personal pension schemes N.I.

39 Payment of minimum contributions to personal pension schemes. N.I.

(1) Subject to the following provisions of this Part, the [F1 Inland Revenue] shall, except in such circumstances [F2 or in respect of such periods] as may be prescribed, pay minimum contributions in respect of an employed earner for any period during which the earner—

(a) is over the age of 16 but has not attained pensionable age;

(b) is not a married woman or widow who has made an election which is still operative that [F3 so much of her liability in respect of primary Class 1 contributions as is attributable to section 8(1)(a) of the Social Security Contributions and Benefits (Northern Ireland) Act 1992] shall be a liability to contribute at a reduced rate; and

(c) is a member of an appropriate personal pension scheme which is for the time being the earner’s chosen scheme.

(2) Subject to subsection (3), minimum contributions in respect of an earner shall be paid to the trustees or managers of the earner’s chosen scheme.

(3) In such circumstances as may be prescribed minimum contributions shall be paid to a prescribed person.

(4) Where the condition mentioned in subsection (1)(a) or (c) ceases to be satisfied in the case of an earner in respect of whom the [F1 Inland Revenue][F4 are] required to pay minimum contributions, the duty of the [F1 Inland Revenue] to pay them shall cease as from a date determined in accordance with regulations [F5 made by the Secretary of State].

(5) If the [F1 Inland Revenue][F6 pay] an amount by way of minimum contributions which [F7 they are] not required to pay, the [F1 Inland Revenue] may recover it—

(a) from the person to whom the [F1 Inland Revenue] paid it, or

(b) from any person in respect of whom the [F1 Inland Revenue] paid it.

(6) If the [F1 Inland Revenue][F6 pay] in respect of an earner an amount by way of minimum contributions which the [F1 Inland Revenue][F8 are] required to pay, but [F9 do] not pay it to the trustees or managers of the earner’s chosen scheme, the may recover it from the person to whom the [F1 Inland Revenue] paid it or from the earner.

[F10 (6A) Where—

(a) a payment under subsection (1) is due in respect of an earner, and

(b) apart from this subsection, the payment would under regulations under subsection (3) be made to the earner,

HMRC are not required to make the payment if they determine that the cost to them of administering the payment would exceed the amount of the payment.]

[F11 (7) In this section “prescribed” means prescribed by regulations made by the Secretary of State.]

[F12 (8) In this section “the earner's chosen scheme” means the scheme which was immediately before the abolition date the earner's chosen scheme in accordance with section 40 (as it had effect prior to that date).]

Textual Amendments

F1 Words in s. 39(1)(4)(5)(6) substituted (24.3.1999 for certain purposes and otherwise 1.4.1999) by S.I. 1999/671, arts. 1(2)(b), 3(1), Sch. 1 para. 54(2); S.R. 1999/149, art. 2(c), Sch. 2

F2 Words in s. 39(1) inserted (6.4.1997) by S.I. 1995/3213 (N.I. 22), art. 147, Sch. 3 para. 34; S.R. 1997/192, art. 2(b)

F3 Words in s. 39(1)(b) substituted (8.7.2002) by National Insurance Contributions Act 2002 (c.19), s. 6, Sch. 1 para. 43

F4 Word in s. 39(4) substituted (24.3.1999 for certain purposes and otherwise 1.4.1999) by S.I. 1999/671, arts. 1(2)(b), 3(1), Sch. 1 para. 54(3)(a); S.R. 1999/149, art. 2(c), Sch. 2

F5 Words in s. 39(4) inserted (24.3.1999 for certain purposes and otherwise 1.4.1999) by S.I. 1999/671, arts. 1(2)(b), 3(1), Sch. 1 para. 54(3)(b); S.R. 1999/149, art. 2(c), Sch. 2

F6 Words in s. 39(5)(6) substituted (24.3.1999 for certain purposes and otherwise 1.4.1999) by S.I. 1999/671, arts. 1(2)(b), 3(1), Sch. 1 para. 54(4)(5); S.R. 1999/149, art. 2(c), Sch. 2

F7 Words in s. 39(5) substituted (24.3.1999 for certain purposes and otherwise 1.4.1999) by S.I. 1999/671, arts. 1(2)(b), 3(1), Sch. 1 para. 54(4); S.R. 1999/149, art. 2(c), Sch. 2

F8 Word in s. 39(6) substituted (24.3.1999 for certain purposes and otherwise 1.4.1999) by S.I. 1999/671, arts. 1(2)(b), 3(1), Sch. 1 para. 54(5); S.R. 1999/149, art. 2(c), Sch. 2

F9 Word in s. 39(6) substituted (24.3.1999 for certain purposes and otherwise 1.4.1999) by S.I. 1999/671, arts. 1(2)(b), 3(1), Sch. 1 para. 54(5); S.R. 1999/149, art. 2(c), Sch. 2

F10 S. 39(6A) inserted (6.4.2012) by The Pensions (2008 No. 2 Act) (Abolition of Protected Rights) (Consequential Provisions) Order (Northern Ireland) 2012 (S.R. 2012/124), arts. 1(b), 4(9)

F11 S. 39(7) added (24.3.1999 for certain purposes and otherwise 1.4.1999) by S.I. 1999/671, arts. 1(2)(b), 3(1), Sch. 1 para. 54(6); S.R. 1999/149, art. 2(c), Sch. 2

F12 S. 39(8) added (6.4.2012) by Pensions Act (Northern Ireland) 2008 (c. 1), ss. 13(4), 21(1), Sch. 4 para. 19 (with Sch. 4 Pt. 3); S.R. 2012/115, art. 2

F13 40 Earner’s chosen scheme. N.I.

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Textual Amendments

F13 S. 40 repealed (6.4.2012) by Pensions Act (Northern Ireland) 2008 (c. 1), ss. 13(4), 21(1), Sch. 4 para. 20, Sch. 6 Pt. 6 (with Sch. 4 Pt. 3); S.R. 2012/115, art. 2

41 Amount of minimum contributions. N.I.

[F14 (1) In relation to any tax week falling within a period for which the [F15 Inland Revenue are] required to pay minimum contributions in respect of an earner, the amount of those contributions shall be an amount equal to the appropriate age-related percentage of so much of the earnings paid in that week (other than earnings in respect of contracted-out employment) as exceeds the current lower earnings limit but not [F16 the upper accrual point] (or the prescribed equivalents if he is paid otherwise than weekly).]

(2) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

(3) Regulations [F17 made by the Secretary of State] may make provision—

(a) for earnings to be calculated or estimated in such manner and on such basis as may be prescribed for the purpose of determining whether any, and if so what, minimum contributions are payable in respect of them;

(b) for the adjustment of the amount which would otherwise be payable by way of minimum contributions so as to avoid the payment of trivial or fractional amounts;

(c) for the intervals at which, for the purposes of minimum contributions, payments of earnings are to be treated as made;

F18 (d) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

(e) for this section to have effect in prescribed cases as if for any reference to a tax week there were substituted a reference to a F19 . . .

(f) as to the manner in which and time at which or period within which minimum contributions are to be made.

[F20 (4) In subsection (3) “prescribed” means prescribed by regulations made by the Secretary of State.]

[F21 (5) For the purposes of this section “the appropriate age-related percentage”, in relation to a tax year beginning before the abolition date, is the percentage (or percentages) specified as such for that tax year in an order made under section 41A (as it had effect prior to that date).]

Textual Amendments

F14 S. 41(1) substituted (6.4.1997) by S.I. 1995/3213 (N.I. 22), art. 135(2); S.R. 1997/192, art. 2(b)

F15 Words in s. 41(1) substituted (24.3.1999 for certain purposes and otherwise 1.4.1999) by S.I. 1999/671, arts. 1(2)(b), 3(1), Sch. 1 para. 56(2); S.R. 1999/149, art. 2(c), Sch. 2

F16 Words in s. 41(1) substituted (with effect in accordance with Sch. 7 para. 12(2) of the amending Act) by Pensions (No. 2) Act (Northern Ireland) 2008 (c. 13), s. 118(2), Sch. 7 para. 12(1) (with s. 73)

F17 Words in s. 41(3) inserted (24.3.1999 for certain purposes and otherwise 1.4.1999) by S.I. 1999/671, arts. 1(2)(b), 3(1), Sch. 1 para. 56(3); S.R. 1999/149, art. 2(c), Sch. 2

F18 S. 41(3)(d) repealed (6.4.1997) by S.I. 1995/3213 (N.I. 22), arts. 147, 168, Sch. 3 para. 35, Sch. 5 Pt. III; S.R. 1997/192, art. 2(b)

F19 Words in s. 41(3)(e) repealed (6.4.1997) by S.I. 1995/3213 (N.I. 22), arts. 135(4), 168, Sch. 5 Pt. III; S.R. 1997/192, art. 2(b)

F20 S. 41(4) added (24.3.1999 for certain purposes and otherwise 1.4.1999) by S.I. 1999/671, arts. 1(2)(b), 3(1), Sch. 1 para. 56(4); S.R. 1999/149, art. 2(c), Sch. 2

F21 S. 41(5) added (6.4.2012) by Pensions Act (Northern Ireland) 2008 (c. 1), ss. 13(4), 21(1), Sch. 4 para. 21 (with Sch. 4 Pt. 3); S.R. 2012/115, art. 2

F22 41A Alteration of rates of minimum contributions under section 41. N.I.

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Textual Amendments

F22 S. 41A repealed (6.4.2012) by Pensions Act (Northern Ireland) 2008 (c. 1), ss. 13(4), 21(1), Sch. 4 para. 22, Sch. 6 Pt. 6 (with Sch. 4 Pt. 3); S.R. 2012/115, art. 2

[F23 41B Money purchase and personal pension schemes: verification of ages N.I.

(1) Regulations [F24 made by the Secretary of State] may make provision for the manner in which an earner’s age is to be verified in determining the appropriate age-related percentages for the purposes of section 38A and 41(1).

(2) Information held by the Department [F25 or the Inland Revenue] as to the age of any individual may, whether or not it was obtained in pursuance of regulations under subsection (1), be disclosed by the Department [F25 or the Inland Revenue]—

(a) to the trustees or managers of a money purchase contracted-out scheme or an appropriate personal pension scheme, and

(b) to such other persons as may be prescribed,

in connection with the making of payments under section 38A(3) or the payment of minimum contributions.]

[F26 (3) In this section “prescribed” means prescribed by regulations made by the Secretary of State.]

Textual Amendments

F23 S. 41B inserted (6.4.1996 for certain purposes otherwise 6.4.1997) by S.I. 1995/3213 (N.I. 22), art. 136; S.R. 1996/91, art. 2(d), Sch. Pt. IV; S.R. 1997/192, art. 2(b)

F24 Words in s. 41B(1) inserted (24.3.1999 for certain purposes and otherwise 1.4.1999) by S.I. 1999/671, arts. 1(2)(b), 3(1), Sch. 1 para. 58(2); S.R. 1999/149, art. 2(c), Sch. 2

F25 Words in s. 41B(2) inserted (24.3.1999 for certain purposes and otherwise 1.4.1999) by S.I. 1999/671, arts. 1(2)(b), 3(1), Sch. 1 para. 58(3); S.R. 1999/149, art. 2(c), Sch. 2

F26 S. 41B(3) added (24.3.1999 for certain purposes and otherwise 1.4.1999) by S.I. 1999/671, arts. 1(2)(b), 3(1), Sch. 1 para. 58(4); S.R. 1999/149, art. 2(c), Sch. 2