NIM24510 - Class 4 NIC: who is liable: exceptions


A number of categories of people are exempt from paying Class 4 NIC, these include:

  • People under the age of 16 at the beginning of the year of assessment are exempt from Class 4 NIC (Regulation 93 SS(C)R 2001).
  • People over State pension age at the beginning of the year of assessment (Regulation 91(a) SS(C)R 2001). A person who attains State pension age during the course of the year of assessment remains liable for Class 4 NIC for the whole of that year.
  • Trustees, guardians etc of an incapacitated person who are liable to tax under TMA70/S72, are exempted from Class 4 NIC on that income under SSCBA92/SCH2/PARA5.