Section 27X — Interpretation

(1) [F1 In this Part—“customer”, in relation to an employer, includes any person who is provided with services by the employer; “place of business”, in relation to an employer, includes any location where the activities of the employer’s business are carried out (whether on a permanent or temporary basis).]

(2) [F1 Where a qualifying tip, gratuity or service charge is—]

(a) [F1 attributable to a place of business, but]

(b) [F1 paid at a different place of business,]

[F1 this Part applies to the qualifying tip, gratuity or service charge only in relation to the place of business to which it is attributable.]

(3) [F1 Where an employer-received tip or a worker-received tip is neither paid at, nor otherwise attributable to, a place of business of the employer, this Part applies as if—]

(a) [F1 the tip were attributable to a place of business of the employer, and]

(b) [F1 all workers of the employer were at that place of business (whether or not those workers were also at any other place of business of the employer).]

(4) [F1 Where subsection (3) applies in relation to two or more employer-received tips or worker-received tips, all such tips are attributable (in accordance with that subsection) to the same place of business of the employer.]

(5) [F1 For the purposes of this Part an employer and a person are to be treated as associated if—]

(a) [F1 one is a company of which the other (directly or indirectly) has control, or]

(b) [F1 both are companies of which a third person (directly or indirectly) has control,]

[F1 and “associated person” is to be construed accordingly.]

Amendment notes

1. F1 Ss. 27U-27Y and cross-heading inserted (E.W.S.) (31.7.2023 for specified purposes, 1.10.2024 in so far as not already in force) by Employment (Allocation of Tips) Act 2023 (c. 13), ss. 10, 14(2); S.I. 2023/876, reg. 3(c); S.I. 2024/829, reg. 3(j)