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HMRC internal manual

Decisions and appeals for National Insurance Contributions and Statutory Payments

Decision types: National Insurance contributions paid decisions: National Insurance contributions paid decision issued with National Insurance contributions entitlement decision

DANSP17100 explains that National Insurance contributions (NIC) paid decisions are usually made with liability or entitlement to pay decisions.


A man pays Class 3 NIC for a period before the pension reforms were announced which reduced the number of years a person needs to pay to qualify for state pension. At that time, the Class 3 NIC enhanced his entitlement to state pension. Following the reforms, if the person had not paid the Class 3 NIC, he would have had the same entitlement to state pension. He requests a refund of Class 3 NIC paid before the pension reforms were announced. You consider that there are no provisions that allow for the Class 3 NIC to be refunded.

Commentary on example

Decisions will be made about

* entitlement to pay Class 3 NIC, for the period the customer paid Class 3 NIC and the amount that could be paid, and
* the amount of Class 3 NIC paid in the same period shown in the entitlement decision.

For an example of a situation where a paid decision will be made with a liability decision see DANSP17200.