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Notifying HMRC about bring in receipt of Carer’s Credit

18/01/2019 07:55:33
I have been notified that I will get carer’s Credit meaning that I don’t have to pay NI class 2. How do I notify HMRC of this? If I pay the NI due on my tax return, will I be able to claim it back once all parties have the full info?
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Re:Notifying HMRC about bring in receipt of Carer’s Credit

18/01/2019 09:35:23
Hi,

Thanks for your question.

The small earnings exception limit is £6025 for 2017/18 tax year. If your self-employment income is below that amount you should amend your Self Assessment return to show that you do not wish to pay voluntary Class 2 National Insurance.

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Notifying HMRC about bring in receipt of Carer’s Credit

18/01/2019 13:13:41
Thanks for your reply. But what if I earn over that amount? And does carers credit apply to class 4 as well?
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Re:Notifying HMRC about bring in receipt of Carer’s Credit

18/01/2019 14:37:10
Hi,
If your profit for self employment goes above £6025 (2017/18 ) you will automatically be charged Class 2 National Insurance. The credit from the carer's allowance is to help with any gaps in your contributions. If you wish to check your contribution record you can call the NIC helpline on 0300 200 3500. There is no interaction between class 2 and class 4 nic and class four will be automatically charged if your profit goes above £8164.

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