Forum

• # 101726
• Mon 29 Sep 2014 05:13 PM

Hi I have taken on the books of a part time self employed Hairdresser.  They have claimed the small earnings certificate for Class 2 NI but do they still have to pay tax?

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• # 101727
• Mon 29 Sep 2014 05:33 PM

Hi Lesley,

I have also applied for this as I have set up in Business and have costs and will have very little income this year as Self employed. I do also have a job under PAYE so pay NIC's anyway. I would of otherwise kept up my NIC payments as this can help towards pensions and unemployment allowances etc if needed in the future.

But you do still need to pay incom tax.

Hope this is helpful.

• Shar
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• # 101751
• Tue 30 Sep 2014 01:53 PM

Hello Lesley,

As long as their self employed earnings are bellow £5885 (for 2014-15) then
they won't have to pay any class 2 National Insurance.

If this their only sauce of income then they won't have any income tax
either. If they have any other sources of income then they my be liable to
pay income tax on all of their income if it is over the personal allowance
threshold.

Also they may still have to pay class 1 NI if they are employed.

Hope that helps.
Torben
>

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• # 101774
• Wed 01 Oct 2014 11:23 AM

Thank you guys :)

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