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Posted Wed, 27 Nov 2024 11:40:29 GMT by Johnny King
On NI38 it states.... "You can pay Class 2 National Insurance contributions if ..... If you lived or worked in an EU country, Iceland, Liechtenstein, Norway, Switzerland or Turkey, time spent there MAY help you to meet condition 2(a) or 2(b). Q - Can you please clarify HMRC's definition of the word 'MAY' here so we can correctly advise our clients and not waste your ICW colleague's time? EG: Does 1 full year of UK National Insurance + 2 full years immediately afterwards of EU social insurance paid, come under this 'MAY'? Please don't tell me to 'submit a CF83 to find out as people's situations are different' We've done that hundreds of times already. The Question is being asked due to the extreme variation of CF83 replies to many people with identical circumstances & UK/EU work duration under NI38 criteria. Some are rejected, Some get Class 2, Some get Class 3 Q - What is HMRC's definition of the word 'MAY' in this context? Thanks
Posted Tue, 03 Dec 2024 17:19:06 GMT by HMRC Admin 10 Response
Hi
You can pay Class 2 National Insurance contributions if you’re employed or self-employed abroad if:
1.    Immediately before going abroad, you were ordinarily an employed or self-employed earner in the UK.
2.    You also satisfy either of the following conditions:
(a)    You’ve lived in the UK for a continuous 3-year period at any time before the period for which National Insurance contributions are to be paid
(b)    Before going abroad, you paid any of the following National Insurance:
•    from April 1975 to give 3 qualifying years
•    from April 1975 to give 2 qualifying years and paid 52 National Insurance contributions (of any Class) before 6 April 1975
•    from April 1975 to give 1 qualifying year and paid 104 National Insurance contributions (of any Class) before 6 April 1975
•    156 National Insurance contributions (of any Class) before 6 April 1975
If neither of the conditions set out at (a) or (b) are satisfied consideration would be given to periods of residence or insurance paid in an EU country, Iceland, Liechtenstein, Norway, Switzerland or Turkey using various Social Security Agreements. Due to the many factors taken into consideration it is not possible to provide a ‘blanket’ reply. 
If a client does not satisfy either of the conditions set out at (a) or (b) and would like HMRC to take account of periods they have been resident and/or working in EU country, Iceland, Liechtenstein, Norway, Switzerland or Turkey further information should be provided. They should confirm the periods they were habitually/ordinarily resident in the other country. If habitual/ordinary residence does not apply they should obtain a record of insurance from the relevant country confirming the insurance in that country. Each week or part-week of paid insurance only on the record can be treated as a week of insurance paid under UK legislation.
A decision can then be made using the information provided. If any further information is needed HMRC will request this.

 
Posted Wed, 04 Dec 2024 11:41:06 GMT by Johnny King
Thanks for above but I'm not looking for a "blanket" reply. HMRC ICW team decisions are hugely inconsistent across numerous CF83 aplications which is why I'm seeking clarity on a simple but critical question. Do even HMRC staff know the correct answer? My question is not overly detailed and does NOT relate to individual circumstances. It's a simple generic enquiry intended to help people using this forum to self-serve which I understand is it's purpose. ASSUMING all other Class 2 Criteria are fulfilled... Can 1 full year of UK National Insurance + 2 full years immediately afterwards of EU social insurance paid, qualify a person for Class 2 NICs? Your help here would be really appreciated. Thanks in advance
Posted Mon, 09 Dec 2024 14:33:55 GMT by HMRC Admin 10 Response
Hi
We would assess each individuals application to pay voluntary National Insurance contributions separately so we can’t give a definite reply.
A person may pay voluntary class 2 National Insurance contributions whilst overseas provided that they have at least 3 qualifying paid tax years and were normally employed or self-employed in the United Kingdom before their departure and are employed or self-employed overseas.  

 

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