Introduction to Income Tax and NICs National Insurance contributions
NVR A National Insurance number Verification Request can be submitted to HMRC, which will provide the NINO to the employer through the online submission route. HMRC will also provide the NINO this way if the employer leaves the NINO field empty in a Full Payment Submission, with date of birth and gender completed. CA5403 Individuals can use this form to apply to HMRC to get their NI number by post to the emplo yee’s home address. Personal Tax Account. Employees can also confirm their NINO by checking their online Personal Tax Account or on the HMRC app (https://www.gov.uk/personal-tax- account). From there, they can print or share their NI number confirmation letter.
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Occasionally, an employee may not have a NINO. This could happen if this is an employee’s first job since entering the United Kingdom.
Employees who have never had a NINO must apply in person to their local social security office (such as Jobcentre Plus) which is a process known as registration. They must show proof of their identity, such as a passport or an original birth certificate. The employee will be given a form to show to the employer as confirmation that an application has been made because the registration process can take a long time.
4.3
Classes of NI contributions
There are several classes of National Insurance contributions:
• Class 1 — Employee (primary) and employer (secondary) contributions on earnings and certain payments (benefits in kind)
• Class 1A — Employer-only contributions on most benefits in kind
• Class 1B — Employer-only contributions on a PAYE Settlement Agreement (PSA)
• Class 2 — Self- employed person’s flat rate contributions
Class 3 — Voluntary contributions
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• Class 4 — Self- employed person’s profit related contributions.
This course is concerned primarily with Class 1 contributions.
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