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Forums › Ask ACCA Tutor Forums › Ask the Tutor ACCA TX-UK Exams › self-employed and employer NIC
Hi Jilly,
For the following the question asked for NIC of Reberto who is trading .So here upon knowing that he is trading so which NIC we will choose The self-employed ones( class 2 & class 4) or the
the ones for employer (class 1)
based on which point we can choose
For my knowledge I come to know that as he is a trader so he is self employed
but if he was paying for the employee contribution then we should choose the Class1 -employer NIC
is that okay.
Thanks
Roberto has been trading for many years. His tax-adjusted trading profits for 2023-24 are £25,000.
What is the total amount of national insurance contributions payable by Roberto for the tax year 2023-24?
A.£1,119
B.£1,298
C.£2,250
D.£2,429
The correct answer is B.
£
Class 2: 52 × £3.45 179
Class 4: 9% (£25,000 ? £12,570) 1,119
1,298
Emplyees pay class 1 – self emplyed class 2 and 4 – as clearly laid out in the NIC chapter