Employment tax update - August 2023

01 August 2023

HRMC have now released their July Agent Update (Issue 110).

This bulletin follows the release of the July Agent Update (Issue 110) and is lighter on content relevant to employment taxes and reward issues, however, there is an interesting piece on voluntary National Insurance contributions which we have summarised below.

Extension of the deadline for voluntary National Insurance contributions

  • The deadline for eligible customers to fill gaps in their National Insurance records has been extended to 5 April 2025.
  • Eligible customers can voluntarily pay National Insurance contributions for tax years 2006/07 and onwards. In years where individuals have gaps in their UK employment record, voluntary contributions can ensure that a full entitlement to UK state retirement benefits is preserved.
  • Gaps in an individual’s UK employment record may be caused by events such as an overseas secondment or time out for childcare.
  • Eligible customers include men born after 5 April 1951 and women born after 5 April 1953.

As with previous issues of HMRC’s Agent Update, Issue 110 includes a reminder on overlap relief and further encourages individuals to submit their 2022/23 self-assessment tax returns. If you would like to read more information on either of these topics, you can read our June and July Employment tax updates.