National Insurance Contributions Act 2015 Explanatory Notes

1. Introduction

   1. Structure of these notes

2. Summary and Background

   1. Overview of NICs

   2. Zero-rate secondary Class 1 contributions for apprentices under 25

   3. Simplifying NICs paid by the self-employed

   4. Follower notices and accelerated payments

   5. High risk promoters of avoidance schemes

   6. Targeted Anti Avoidance Rule to prevent people from circumventing new legislation tackling avoidance involving employment intermediaries

3. Overview of the Structure of the Act

4. Territorial Extent and Application

5. Commentary on Sections

   1. Section 1: Zero-rate secondary Class 1 contributions for apprentices under 25

   2. Section 2: Reform of Class 2 contributions

   3. Section 3: Consequential etc power

   4. Schedule 1: Reform of Class 2 contributions

   5. Section 4: Application of Parts 4 and 5 of FA 2014 to national insurance contributions

      1. Follower Notices and Accelerated Payments: Class 1, 1A, 1B and certain Class 2

      2. Promoters of Avoidance Schemes: Class 1, 1A, 1B and certain Class 2

      3. Application of Parts 4 and 5 of FA 2014: Class 4

      4. Commencement and transitory provision

   6. Section 5: Provision in consequence etc of tax-only changes to Part 4 or 5 of FA 2014

   7. Section 6: Categorisation of earners etc: anti-avoidance

   8. Section 7: HMRC administrative expenses financial provision

   9. Section 8: Abbreviations of Act

   10. Section 9: Short title and extent

6. Commencement Dates

7. Hansard References

8. ANNEX A

9. ANNEX B GLOSSARY