HMRC has published draft legislation that will allow employers to apply a zero rate of secondary class 1 employer National Insurance contributions on the earnings of veterans during the first year of their civilian employment.
From April 2021, employers will be able to claim relief worth up to £5,000 for each qualifying veteran they hire. A veteran must have completed at least one day of basic training in the regular armed forces. Employers will be able to claim this relief for the 12-month period starting on the first day of the veteran’s first civilian employment since leaving the forces.
This follows a consultation last year.
Comments on the draft regulations should be emailed to nics.correspondence@hmrc.gov.uk by 8 March 2021.
