NIM02455 - Class 1: Vouchers - non-cash vouchers – exemptions – qualifying childcare vouchers from 6th April 2005 – definition of “qualifying week”

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

Sections 270A(7) ITEPA 2003

NIM02446 explains that a qualifying childcare voucher of up to £50 (£55 from 6th April 2006) per qualifying week per e

mployment can be disregarded in calculating an employee’s earnings for Class 1 NICs purposes. A “qualifying week” means a tax week in respect of which a qualifying childcare voucher (see NIM02448) is received.

“Tax week” 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.

Page 21 of the “ Employer’s Helpbook E13(2006) Day-to-day payroll” contains a chart showing the dates of the tax weeks in a tax year.