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Where Taxpayers and Advisers Meet

Are National Insurance contributions deducted before tax?

wrongsideof40
Posts:4
Joined:Tue Jan 10, 2017 11:17 pm
Are National Insurance contributions deducted before tax?

Postby wrongsideof40 » Fri Oct 12, 2018 12:39 pm

Complete newbie question, but I can't seem to find the answer...

I'm a sole trader, and have the dubious pleasure of filling in a self-assessment form, soon. I want to pay Class 2 NICs so my question is: For tax purposes, are the contributions deducted before paying tax, or not?
Also, who and how do I inform that I want to pay them?

Thanks - Martin

JRG
Posts:424
Joined:Wed Feb 03, 2010 4:40 pm

Re: Are National Insurance contributions deducted before tax?

Postby JRG » Fri Oct 12, 2018 3:11 pm

All NICs are payable in addition to income tax. Class 2 NICs are payable at £2.95 per week on profits exceeding £6,205 for this tax year.

wrongsideof40
Posts:4
Joined:Tue Jan 10, 2017 11:17 pm

Re: Are National Insurance contributions deducted before tax?

Postby wrongsideof40 » Fri Oct 12, 2018 3:30 pm

Thanks for that, JRC. Year 1 profits won't get near 6K but I want to keep my NI payments up for State Pension purposes :-)


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