Selfemployed NIC rates from April

Class 2 rate

Charged at £2.10 per week. If earnings are below £5,035 per annum averaged over the year, ask the DSS about 'small income exception'. Details are in leaflet CA02.

Class 4 rate

Business profits up to £5,035 per annum are charged at NIL. Annual profits between £5,035 and £33,540 are charged at 8% of the profit. There is also a charge on profits over £33,540 of 1%. Class 4 contributions are collected by the Inland Revenue along with the income tax due.

Capital allowances (depreciation) rates

Plant and machinery: 25% (40% first-year allowance is available for certain small businesses)

Was this article helpful?

0 0

Post a comment