Government wants input on self-employed NICs
can now feedback to the government on how national insurance could become ‘simpler,
transparent and easier to understand’ for self-employed people.
Identifying these three aims in a new consultation, the government said it wanted to hear from sole traders on its plans to abolish Class 2 NICs and reform Class 4 NICs.
Confirmed at Summer Budget 2015, the plans were suspected at the time by some to be a way to increase the amount of NICs that freelancers must pay to HM Revenue & Customs.
No such objective is listed in the consultation. Instead, it talks of simplifying administration for freelancers and aligning the NIC treatment of different self-employed people.
it also says that Class 4 NICs will be changed to debut a new contributory
benefit test – the mechanism which three experts have said may result
in higher NIC bills for freelancers.
Self-employed people wishing to make their feelings known have until Feb 24th to respond to the consultation, which poses 13 questions that can be answered and commented on.
with multiple sources of income from self-employment and women who work for
themselves interested in maternity pay are among those who officials invited to
7th January 2016