Thank you for your help, it was most useful. I have another question if you don't mind. I have been paying NI 4 for 4 years. I am not a citizen of the UK and work on an ancestral visa. I intend to return to my home country soon and will not qualify for any benefits of the NI 4 which I have paid to date. Can I claim any taxes back?
Class 4 NI does not qualify for benefits or anything. It is nothing other than a tax and is, therefore, not reclaimable. It is supposedly there to make it fair as those who are employed pay class 1 at 12.5% every month.
Can I ask a question related to Class 4 NI?
I work for a company and get paid on a salary ie PAYE and I also do some freelance admin work.
Two years ago an accountant did my books and said I was "exempt from paying Class 4 NI because of my PAYE status"
This year I did my own tax return online and couldn't find anywhere to confirm that the above was correct so ended up paying Class 4 NI on top of the other tax so in effect 20% and then another 10% fo NI4.
Do you know if I was correct to do this, or in fact should have ticked the 'exempt' box?
You would not be exempt from Class 4 unless you meet any of the categories listed on the return, however as you are also under PAYE after you have submitted your return the calculation on your Class 4 will be adjusted where relevant to take into account Class 1 paid as an employee.