National Insurance contributions (NICs)

Amounts payable to HM Revenue & Customs ( www.practicallaw.com/6-200-6399) by employees, their employers, and by self-employed workers. The amount of NIC payable by any person is determined by multiplying the relevant earnings, benefits or profits of the employee or self-employed person by the relevant percentage. (The self-employed also pay a fixed rate amount.) The percentage will depend on the class (for NIC purposes), the person and the level of earnings or profits. NIC is typically not payable below a prescribed earnings or profits lower limit, and is payable at a reduced rate, beyond a prescribed earnings or profits upper limit.

For the rates and thresholds, see HM Treasury: Policy paper: Tax and tax credit rates and thresholds for 2016-17.

For further information about NICs including exemptions, see Practice note, Taxation of employees: National insurance contributions ( www.practicallaw.com/6-200-2122) .

{ "siteName" : "PLC", "objType" : "PLC_Doc_C", "objID" : "1247244918057", "objName" : "National Insurance contributions (NICs)", "userID" : "2", "objUrl" : "http://us.practicallaw.com/cs/Satellite/us/resource/8-201-8297?source=relatedcontent", "pageType" : "Resource", "academicUserID" : "", "contentAccessed" : "true", "analyticsPermCookie" : "2-5ceb786c:152d00d0938:ce2", "analyticsSessionCookie" : "2-5ceb786c:152d00d0938:ce3", "statisticSensorPath" : "http://analytics.practicallaw.com/sensor/statistic" }