PART 2 ASSESSMENT OF EARNINGS RELATED CONTRIBUTIONS

Abnormal pay practicesF130

1

If an officer of the Board is satisfied that—

a

a secondary contributor has followed or is following a practice in the payment of earnings which is abnormal for the employment in question (“an abnormal pay practice”); and

b

by reason of that practice the liability for earnings-related contributions is or has been avoided or reduced,

paragraph (2) applies.

2

If this paragraph applies the officer may, and if requested to do so by the earner or the secondary contributor shall, decide any question relating to a person’s earnings-related contributions as if the secondary contributor had not followed an abnormal pay practice, but had followed a practice normal for the employment in question.

3

A decision under this regulation shall not apply to contributions based on payments made more than one year before the beginning of the year in which that decision is given.