Schedule 1: Employment Allowance: rules for determining if persons are connected Section 13: Class 4 Contributions: partnerships
138.Subsection (1) provides for amendments to the SSCBA 1992.
139.Subsection (2) inserts new section 18A into the SSCBA 1992.
140.Subsection (1) of new section 18A of the SSCBA 1992 allows the Treasury to make regulations under the new section if a provision of the Income Tax Acts relating to partners is passed or made, and the Treasury consider it appropriate to make regulations taking into account that tax provision. The regulations may modify the way a partner's liabilities for Class 4 contributions are determined, or otherwise modify the law relating to Class 4 contributions.
141.Subsection (2) of new section 18A defines a "firm" as having the same meaning as in the Income Tax (Trading and Other Income) Act 2005 (including an LLP in relation to which section 863(1) of that Act applies). It further provides that “partner” is to be read accordingly, and includes a former partner.
142.Subsection (3) of new section 18A provides that regulations under that section may have retrospective effect but that they may not have effect before the beginning of the tax year in which they are made.
143.Subsection (3) amends section 176(1)(a) of the SSCBA 1992 to provide that regulations made under new section 18A are subject to the affirmative procedure.
144.Subsections (4) to (6) amend the SSCB(NI)A 1992 to make equivalent provision to subsections (1) to (3) in relation to Northern Ireland.
145.Subsection (7) provides that the amendments made by this section will come into force two months from the day the Act is passed.