Class 2 refunds.
HMRC has issued a warning for anyone who paid voluntary Class 2 NI contributions through their 2022/23 self-assessment and has subsequently received a refund or credit from HMRC.
This may have happened if you submitted your 2022/23 tax return before 31 January 2024. You would have paid Class 2 voluntary contributions if your business profit for 2022/23 was less than the small profits threshold of £6,725, and you indicated you wanted to pay them in the self-employed pages of your tax return.
Trap.
If you’ve received a refund it might cause 2022/23 to be a non-qualifying year for various state benefits, including your state pension.
Action required.
For HMRC to check if your benefits and NI record have been affected you need to call its NI helpline.
You can also check by looking at your personal tax account to see if your Class 2 NI credit appears for 2022/23.
You may need to pay the contributions again to restore your NI record.
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