(1)Subsection (2) applies where—
(a)a secondary Class 1 contribution is payable as mentioned in section 6(1)(b) of either of the 1992 Acts in respect of earnings paid in a tax week in respect of an employment,
(b)the tax week is in a tax year mentioned in subsection (4),
(c)the veteran conditions are met in relation to the contribution (see section 7), and
(d)the employer (or, if different, the secondary contributor) elects that subsection (2) is to apply in relation to the contribution for the purposes of section 9(1) of whichever of the 1992 Acts would otherwise apply instead of section 9(1A) of that Act or section 1 of this Act.
(2)For the purposes of section 9(1) of whichever of the 1992 Acts would otherwise apply—
(a)the relevant percentage in respect of any earnings paid in the tax week up to or at the upper secondary threshold is 0%, and
(b)the relevant percentage in respect of any earnings paid in the tax week above that threshold is the secondary percentage.
(3)The upper secondary threshold (or the prescribed equivalent in relation to earners paid otherwise than weekly) is the amount specified in, or in regulations under, section 8.
(4)The tax years are—
(a)2022-23;
(b)2023-24.
(5)Any amount paid by way of secondary Class 1 contribution in relation to a tax week in the tax year 2021-22 that would not have been payable if that tax year had been mentioned in subsection (4) and an election had been made for the purposes of subsection (1)(d) in relation to the contribution is to be treated, from 6 April 2022, as not having been payable.
(6)The Treasury may by regulations made before the end of the last tax year for the time being mentioned in subsection (4) (“the last tax year”) amend that subsection so as to add one or more consecutive tax years following immediately after the last tax year.
(7)For the purposes of the 1992 Acts a person is still to be regarded as being liable to pay a secondary Class 1 contribution even if the amount of the contribution is £0 as a result of this section.
(8)The Treasury may by regulations make provision about cases in which subsection (2) is to be treated as applying in relation to contributions payable in respect of a tax week in a given tax year only when—
(a)that tax year has ended, and
(b)all contributions payable in respect of a tax week in that tax year have been paid.