Some of the changes come about as a result of the introduction of self-assessment for tax and further align the tax and National Insurance contributions.
With effect from 6 April 1997, employers will benefit from:
-- extension to the time limit for preparing records and returns for Class 1A National Insurance contributions from 19 June to 19 July
This new Statutory Instrument 1996 No 5 will also:
-- align the time limits for applying for returns of overpaid Class 4 NICs with those for tax overpaid as a result of an error or mistake in a tax return
-- introduce a definition of the term 'director' for National Insurance purposes
-- increase the benefits available to certain members of occupational pension schemes, by changing the priority of earnings periods where earnings are aggregated, and where different pension arrangements and earnings periods apply in each job
This measure allows the payment of age-related rebates for certain Contracted-Out Money Purchase COMP Scheme members who would not otherwise qualify for the rebate.