The Vocational Training (Tax Relief) Regulations 1992

Explanatory Note

(This note is not part of the Regulations)

These Regulations, made under sections 32(3) and 33 of the Finance Act 1991, specify the cases in which, and the conditions subject to which, tax relief for payments in respect of qualifying courses of vocational training is to be given by deduction from such payments of amounts equal to income tax at the basic rate on them (“relief at source”). The Regulations also provide the machinery by which the training providers receiving the payments from which amounts have been deducted can recover those amounts from the Board by making claims; and provide for the inspection of records kept by training providers and for training providers to furnish information.

Regulation 1 provides for citation and commencement.

Regulation 2 contains definitions.

Regulation 3 specifies the cases in which, and the conditions subject to which, relief is to be given at source.

Regulation 4 specifies the contents of a notice of entitlement to relief at source to be given by the training provider and by the individual making the payment.

Regulation 5 provides that refunds of payments on which relief has been given at source are to be of the net amount only and that any amounts recovered from the Board in respect of such payments are to be repaid. This regulation also provides that any amounts recovered from the Board in respect of prizes and awards are also to be repaid.

Regulation 6 provides that a training provider who has received payments from which amounts have been deducted under the scheme for relief at source may make interim claims as well as an annual claim to recover those amounts from the Board, and regulation 7 makes provision for the relevant dates for the Board to make payments under those claims.

Regulations 8, 9 and 10 provide for interim claims, and for supplementary statements to be provided where interim claims are submitted in advance.

Regulation 11 provides for an annual claim to be made after the end of the tax year to which it relates, and provides for the recovery by the Board of excessive repayments.

Regulation 12 provides for the inspection by the Board of records kept; regulation 13 provides for training providers to keep records; and regulation 14 specifies the information which training providers are to furnish to the Board.