Beta This part of GOV.UK is being rebuilt – find out what this means

HMRC internal manual

Decisions and appeals for National Insurance Contributions and Statutory Payments

From
HM Revenue & Customs
Updated
, see all updates

Decision types: Employment of long-term unemployed: Decisions about deductions by employers

Section 8(1)(i) of the Social Security Contributions (Transfer of Functions, etc.) Act 1999; Article 7(1)(i) of the Social Security Contributions (Transfer of Functions, etc.) (Northern Ireland) Order 1999 (SR 1999 No 671); Section 27 of the Jobseekers Act 1995; Article 29 of the Jobseekers (Northern Ireland) Order 1995 (SR 1995 No 2705); The Employer’s Contributions Re-imbursement Regulations 1996 (SI 1996 No 195) as amended by the Employer’s Contributions Re-imbursement Amendment Regulations 1999 (SI 1999 No 286); The Employer’s Contributions Re-imbursement (Northern Ireland) Regulations 1996 (SR 1996 No 30) as amended by the Employer’s Contributions Re-imbursement Amendment (Northern Ireland) Regulations 1999 (SR 1999 No 52);

HMRC Officers can decide any issue arising under section 27 of the Jobseekers Act 1995 and article 29 of the Jobseekers (Northern Ireland) Order 1995 (SR 1995 No 2705) (employment of long-term unemployed: deductions by employers) or under provisions of regulations made under that section.

This is about employers making deductions from their National Insurance contributions (NIC) payments as part of a back to work initiative to encourage employers to employ the long-term unemployed. This was referred to as the NIC Holiday Scheme, which is no longer available for employments starting on or after 1 April 1999. Employers could, for employees who started employment before 1 April 1999, continue to make deductions until sometime in the 2005/06 tax year. For more information about the NIC Holiday scheme see COG905270.

As the scheme has ended it is unlikely that decisions will be required. If you need to issue such a decision contact Central Policy’s Tax Administration Advice before doing so.