division_name: Child Support, Pensions and Social Security Bill - Contributions in Respect of Benefits in Kind: Great Britain
motion: <p>As amended in the Standing Committee, further considered. 
  
   <p>
   I beg to move amendment No. 62, in page 68, line 37, at end insert--
   
  
  <p> 
    
  '( ) Nothing in this section shall apply to any childcare provision by the employer, which shall be exempt from Class 1A National Insurance contributions.'.<p>The trigger for the change is the taxation of the benefit in kind, not the other way round. The national insurance does not cause the tax to be paid; the tax causes the national insurance to be paid.--[ Official Report, Standing Committee A , 2 March 2000; c. 675.]
  <p>To encourage employers to help employees with childcare, all provision in kind will remain exempt from employer class 1A national insurance contributions when these are extended to other employee benefits from April 2000.
  <p>This employer NICs exemption will apply to direct provision, childcare vouchers and payments under contracts between employers and third party providers.
  <p>Taxation is not neutral in the way it raises revenue. How and what governments tax sends clear signals about the economic activities they believe should be encouraged or discouraged, and the values they wish to entrench in society.
  <p>Question put,  That the amendment be made:--
  <p>The House divided:  Ayes 143, Noes 265.
  