
1 
These regulations, which may be cited as
the National Insurance (Collection of Graduated Contributions) Amendment Regulations
1971, shall, unless the context otherwise requires, be read as one with the National Insurance (Collection of
Graduated Contributions) Regulations 1970 (hereinafter referred to as “the principal regulations”) and shall
come into operation on 6th April 1972.
2 
In regulations 1(2)
and 5(2) of the principal
regulations for the word “Schedule” there shall
be substituted the word “Schedules”.
3 
In regulation 2
of the principal regulations (collection and recovery of graduated contributions)—

(1) for the word “Schedule”
 there shall be substituted the word “Schedules”
;
(2) after the reference to the 
Income Tax (Employments) Regulations 1965,
as amended there shall be added the words “and of the Income Tax (Employments) (No. 6) (Seamen)
Regulations 1970”.
4 
In the Schedule to the principal regulations (provisions of the 
Income Tax (Employments) Regulations 1965 as
they apply to graduated contributions)—
(1) for the heading “SCHEDULE”
 there shall be substituted the heading “
SCHEDULE 1”;
(2) in regulations
19(1), 26(1), 
27(1) and (5), 
28(1), 29(2)(c)
and 32(4) after the words 
“Regulation 13”
, “Regulation 26”
, or, as the case may be “
Regulation 28” there shall be
inserted the words “of this Schedule”;
(3) in regulation
29(6)—
(a) after the words “
Regulation 28” where they first
appear there shall be inserted the words “of this Schedule”
;
(b) for the words “
Regulation 28” where they next
appear there shall be substituted the words “that Regulation”
.
(4) Part V
(special provisions applicable to seamen) is hereby revoked.
5 
After Schedule 1
to the principal regulations there shall be added the provisions set out in
the Schedule to these regulations.
Signed by authority of the Secretary of State for Social Services.

Paul Dean
Parliamentary Under Secretary of State
Department of Health and Social Security
10th December 1971Tim Fortescue
V.H. Goodhew
Two of the Lords Commissioners of Her Majesty's Treasury
14th December 1971The Commissioners of Inland Revenue hereby concur. By Order of
the Commissioners of Inland Revenue.
A.H. Dalton
Secretary
16th December 1971
SCHEDULE
Regulation 5



SCHEDULE 2
Regulation 2
2 

(3) In this Schedule unless the context otherwise
requires—
 “employer” includes the master of a ship;
 “Schedule 1”
means Schedule 1
to these Regulations;
 “seaman”
means any person— 
(a) 
who has signed the agreement with the crew of a ship to which any determination
of the National Maritime Board relating to remuneration applies, not being
a member of Her Majesty's naval, military or air forces or a person in the
employment of the British Railways Board; or
(b) who being the holder of a British
Seaman's Identity Card or of a British Seaman's Card to which he is lawfully
entitled is employed to work on a ship;and for the purpose of this definition—
(i) where the crew of a ship are engaged
at a place outside the United Kingdom on terms which adopt any determination
of the National Maritime Board relating to remuneration, that ship shall be
deemed to be a ship to which that determination applies if the determination
would have applied to the ship if the crew had been engaged in the United
Kingdom;
(ii) where an arrangement has been made for
the purposes of deduction of tax from the emoluments of persons resident in
the United Kingdom who are employed or engaged in sea-going service in any
foreign ship, those persons shall be deemed to be seamen; and
(iii) an apprentice or cadet whose name is
entered on the agreement with the crew shall be deemed to be a person who
has signed the agreement.
2A 
Subject to the provisions of the preceding
paragraph the provisions contained in Part I
of Schedule 1 shall apply also to the provisions
of this Schedule.
4 

(1A) Subject to the provisions of 
regulation 11 of this Schedule, Parts II and III of Schedule 1
shall not apply in the case of a seaman and every employer, on making any
payment of a seaman's emoluments, may deduct graduated contributions therefrom
in accordance with the provisions of this Schedule.
(2A) An employer shall not be entitled to
recover any graduated contributions paid or to be paid by him on behalf of
any seaman otherwise than by deduction in accordance with the provisions of
this Schedule.
(3A) On the occasion of the payment of any
seaman's emoluments there may be deducted therefrom the amount, if any, of
the graduated contributions based thereon which the seaman is liable to pay
under those provisions of Part I
of the Act which relate to graduated contributions or under those provisions
as modified by Part II
of the National Insurance (Mariners) Regulations 1967 as amended (which modifies the statutory provisions in relation to graduated
contributions for a seaman).
(4A) If by reason of an error made in good
faith the employer, on making any payment of emoluments to a seaman, fails
to deduct therefrom the full amount of graduated contributions which by virtue
of the provisions of this Schedule he is entitled to deduct, he may recover
the amount so underdeducted by deduction from any subsequent payment of emoluments
to that employee during the same year:Provided that—
(a) the amount which may be deducted by virtue
of the provisions of this paragraph from any payment shall be in addition
to but shall not exceed the amount deductible therefrom under the other provisions
of this Schedule; and
(b) for the purposes of 
Part IV of Schedule 1 and of Regulations
6 and 8
of this Schedule an additional amount which may be deducted by virtue of the
provisions of this paragraph shall be treated as an amount deductible under
the provisions of this Schedule only in so far as the amount of the corresponding
underdeduction has not been so treated.
6 
All amounts of graduated contributions which are deductible
from any payment of emoluments under the provisions of this Schedule, together
with an equal amount by way of employer's graduated contributions, shall be
paid to the Collector within the time limited for the payment of income tax,
if any, deductible from that payment of emoluments or, if income tax is not
so deductible, the time which would be so limited if income tax were so deductible.

7 

Every employer who makes any payment of emoluments to a seaman shall, within
the time laid down in Regulation 6
of this Schedule for the payment of the graduated contributions, if any, which
are deductible therefrom, render a return to the Collector in such form as
may be authorised by the Commissioners of Inland Revenue showing as regards
every payment of emoluments which he makes to the seaman—
(a) the seaman's name;
(b) the seaman's rank or rating and discharge
book number;
(c) the seaman's National Insurance number;

(d) the total emoluments paid to the seaman
by the employer for the period in respect of which the payment of emoluments
is made;
(e) the number of employer's contributions
which the employer is liable to pay under section
3 of the Act (which provides for the payment
of weekly employer's contributions) in respect of the seaman for the period
in respect of which the payment of emoluments is made;
(f) the total amount of graduated contributions
which may be deducted from the emoluments otherwise than under 
paragraph (4A) of Regulation 4 of this Schedule.

8 

(1) The provisions of 
Part IV of Schedule 1 shall apply in relation
to seamen subject to any necessary modifications and in particular to the
modifications set out in the following paragraphs of this Regulation.
(2) Paragraph
(1) of Regulation 26 of Schedule 1 shall apply
as if—
(a) for the reference to payment of graduated
contributions within 14 days of the end of every income tax month there were
substituted a reference to payment of graduated contributions within the time
limited in Regulation 6
of this Schedule; and
(b) the words “other than amounts
deductible by virtue of the proviso to paragraph
(1) of Regulation 13 of this Schedule which
he did not deduct” were omitted; and
(c) the proviso were omitted.
(3) Regulation
27 of Schedule 1 shall not apply, but the following
provisions shall have effect where the employer fails to pay to the Collector
within the time limited in Regulation 6
of this Schedule any amount of graduated contributions which he is liable
under this Schedule to pay to the Collector, that is to say—
(a) the production of the return made by
the employer under Regulation 7
of this Schedule shall be sufficient evidence that the amount of graduated
contributions shown in that return as deductible by the employer is one half
of the amount which the employer is liable to pay to the Collector; and
(b) if the amount of graduated contributions
shown as deductible in the said return differs from the amount which the employer
was entitled to deduct from the payments specified therein under the provision
of this Schedule, a certificate of the Collector as to the amount properly
deductible shall be sufficient evidence that that amount, and not the amount
shown in the said return, is one half of the amount which the employer is
liable to pay to the Collector; and any document purporting to be such a certificate
as aforesaid shall be deemed to be such a certificate until the contrary is
proved.
(4) Regulation
29 of Schedule 1 shall not apply in the case
of seamen.
11 
Notwithstanding the preceding regulations in this Schedule where,
under Regulation 11 of the 
Income Tax (Employments) (No. 6) (Seamen) Regulations 1970
the Commissioners of Inland Revenue have approved arrangements agreed with
an employer in respect of all or some of his employees for the purpose of
applying with or without modification the provisions of Parts II, III and IV of the 
Income Tax (Employments) Regulations 1965 and in consequence the provisions of the 
Income Tax (Employments) (No. 6) (Seamen) Regulations 1970
do not apply in respect of those employees, the foregoing provisions of this
Schedule shall not apply in respect of them either and the provisions of Parts II, III and of Part IV of Schedule 1
shall, subject to any modifications which may be specified in the said arrangements,
apply instead.