SOCIAL SECURITY CHARGE

Greymouth Evening Star, 8 December 1939, Page 5

SOCIAL SECURITY CHARGE

EXEMPTION FOR FORCES. [pee press association.] WELLINGTON, December 7. Further exemptions from the Social Security charge are announced in the regulations issued with to-night’s Gazette. They deal principally with incapacity allowances and sick pay, and with payments by members of His Majesty’s Forces. As from April 1, 1940. exemption from the Social Security‘.charge will be granted in the following cases: —

(1) Incapacity allowances received from the National Provident Fund. (2) Sick pay from a sick, accident, or death benefit fund.

(3) Income derived by trustees in trust from such sick, accident, or death benefit funds.

The regulation dealing with His Majesty’s Forces provides that any member of His Majesty’s Forces on whose behalf the Social Security charge on pay and allowances earned by him as a member of those forces is paid by the Government for that member while he is in receipt of such pay and allowances, is exempt from any instalments of fee, the last day for the payment of which falls due while he is serving and being paid under those circumstances.

This regulation also provides that members of His Majesty’s Forces shall be exempt from paying the Social Security charge upon any sum (being income derived by them) contributed on their behalf by their employers or former employers to any superannuation fund during the period of service with His Majesty’s Forces. This regulation is deemed to have come into force on April 1, 1939. For the purposes of the regulation, “superannuation fund” means a superannuation fund as defined in Section Two of the Land and Income Tax Act, 1923, and includes the National Provident Fund. A member of His Majesty’s Forces means a person serving in His Majesty’s naval, military or Air Force, and includes any person, who, being a national of New Zealand, is temporarily absent from New Zealand for the purpose of serving in the Royal Air Force under a short-service commission.