SELF-ASSESSMENT

Synopsis: Changes coming in from April 2015 will mean most self-employed people will be able to pay their Class 2 NICs through self-assessment.

Date posted: Monday, January 12, 2015

Class 2 National Insurance contributions (NICs) are currently payable through the bank, post office or post.

From April 2015, most self-employed people will be able to pay their Class 2 NICs through self-assessment, together with any income tax and Class 4 NICs that are due.

As a result HMRC is no longer accepting any new direct debit applications to pay Class 2 NICs. Instead HMRC will be writing to taxpayers to explain that instead of setting up a direct debit, a request for payment will be sent in April 2015 asking for payment of any outstanding contributions up to 11 April 2015.

These planned changes from April also mean that clients will no longer need to apply or re-apply to defer payment of Class 2 and Class 4 contributions and any new applications to defer payment will not be processed.

COMMENT:

This measure comes as a result of the Government wishing to simplify the way in which self-employed people pay their Class NICs – essentially payment of income tax and NICs through self-assessment should result in a more ‘joined-up’ system which is easier to follow as both taxes will be aligned with one another.

Why not talk to the professionals about properly managing your finances

Call us on 01273 457100 020 7871 5387 01403 333666

Or email us on info@opusgold.com

Or just take a look at how we help our clients www.opusgold.com

Leave a Reply

Query Form
×