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class 4 + 2 nic

Forums › Ask ACCA Tutor Forums › Ask the Tutor ACCA TX-UK Exams › class 4 + 2 nic

  • This topic has 1 reply, 2 voices, and was last updated 5 years ago by Tax Tutor.
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  • August 29, 2020 at 5:22 am #582577
    AverageAndy
    Member
    • Topics: 128
    • Replies: 34
    • ☆☆

    Sir i wanted to confirm one thing, unless we are calculating employee nic we do not have to time apportion the annual thresholds of 8632 and 50000, like when calculating class 4 NIC- Sole trader commences trading on 1 december 2019 and makes a period of account to 31 july then class 4 nic will be ( profit x4/8 – 8632)x9%, right sir???

    and class 2 nic will be 17weeks x 3

    Thank you!

    August 30, 2020 at 10:22 pm #582795
    Tax Tutor
    Member
    • Topics: 2
    • Replies: 3965
    • ☆☆☆☆☆

    Correct – for class 4 NIC the trading income assessment for the tax year is used by reference to the annual limits for that tax year and class 2 is per week

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