With NIC and dividend tax changes set to take effect in April 2022, its important to understand who this levy would affect. For starters, employers, employees, and self-employed should expect an increase in NIC by 1.25%, shareholders or directors should expect a hike in dividend tax by 1.25%. NIC helps secure your right to state benefits as well as calculate your state pension. Having a trusted tax accountant in Leatherhead in your corner will help you review and update your National Insurance Contributions.
People susceptible to these changes are Class 1 of the self-employed, employer and employee plus Class 4 of the business partners and self-employed. This increase will be named as Health And Social Care Levy. It would be payable by people who continue to work above the pension age of the state. Those in this category don’t pay any NIC contributions as explained by a tax accountant in Leatherhead. Individuals in Class 3 and Class 2 in the National Insurance Contribution are not susceptible to these changes. Small employers and employees in Class 1 of National Insurance Contribution are not affected by these changes as they are covered in employment allowances. As for dividend tax, the increase will apply as basic rate taxpayers, higher rate taxpayers as well as additional rate taxpayers.
Its quite hard to understand all these changes if you don’t have David Beckman Co. Ltd in your corner. They are better placed to advise you on what to do to get zero per cent employer’s National Insurance. The firm has a proficient tax accountant Leatherhead that can help you to correct your National Insurance Contributions. For one, these chartered accountants can help you to pay less NIC if you have two employment. How so? The knowledge and skills they have about the UK tax guidelines and regulations will assist them to put you in a better position to get lower NIC on the second employer than the first, ensuring you don’t pay too much tax in NIC. You can bet on them when you need any NIC and Dividend tax services.
