NIM02453 - Class 1: - non-cash qualifying childcare vouchers from 6th April 2005 - definition of 鈥渜ualifying week鈥�

Regulation 25 and paragraph 7(6)(b) of Part 5 of Schedule 3 Social Security (Contributions) Regulations 2001

Sections 270A(7) ITEPA 2003

The Social Security (Contributions)(Amendment No 4) Regulations 2011 (SI 2011 no 1000)

NIM02440 explains that a qualifying childcare voucher of up to 拢55 per qualifying week per employment can be disregarded in calculating an employee鈥檚 earnings for Class 1 NICs purposes. For those new to a childcare voucher scheme from 6 April 2011 the amount that is disregarded for NICs purposes is 拢55 a week for ordinary rate tax payers 拢28 for higher rate tax payers and 拢25 for additional rate tax payers

A 鈥渜ualifying week鈥� means a tax week in respect of which a qualifying childcare voucher (see NIM02440) is received.

鈥淭ax week鈥� means one of the successive periods in the tax year beginning with the first day of that year and every seventh day after that. This means that:

  • the last day of the tax year; or
  • the last two days of the tax year where it is a leap year,

is treated as a separate week.