NIM25107 - Class 3 NICs: Additional Class 3 NICs: Married women and widows with an election

Regulation 132 Social Security (Contributions) Regulations 2001 (SI 2001 No. 1004)

NIM25103 explains the conditions that a person needs to satisfy in order to be entitled to pay additional Class 3 NICs. Even though a married woman or widow might satisfy those conditions, by virtue of regulation 132 they are precluded from paying additional Class 3 NICs for a tax year during the whole of which she had elected:

  • to pay Class 1 NICs as an employee at the reduced rate; and
  • not to pay Class 2 NICs when self-employed.

Example

Mrs L satisfies the three conditions of eligibility set out in NIM25103. The 1975/76, 1976/77, 1977/78, 1978/79, 1979/80 and 1980/81 tax years are the only non-qualifying years between 6 April 1975 and her reaching State Pension age on 7 May 2008.

During the period 6 April 1975 to 7 February 1981, Mrs L made an election:

  • to pay Class 1 NICs as an employee at the reduced rate; and
  • not to pay Class 2 NICs when self-employed.

Although she satisfies the conditions of eligibility, Mrs L is precluded from paying additional Class 3 NICs for the 1975/76, 1976/77, 1977/78 and 1979/80 tax years because her election was in force for the whole of each of those years. But she is entitled to pay additional Class 3 NICs for the1980/81 tax year because the election was only in force for part of that year.

For:

  • the meaning of “qualifying year”, see NIM25001 and NIM25109
  • the conditions of eligibility, see NIM25103
  • further details about preclusion from paying Class 3 NICs where there is an election, see NIM25106
  • details of elections, see: