Butch is a self-employed shepherd who paid tax for 2012/13 as follows:
£
Total amount of income tax charged
8,000
This included:
Tax deducted on savings income
2,600
He also paid:
Class 4 NIC
2,153
Class 2 NIC
138
His payments on account for 2013/14 will each be:
The correct answer is: £3,777.
Income tax
Total income tax charged for 2012/13
Less: tax deducted for 2012/13
Payments on account for 2013/14
£7,553 x ½ = £3,777
There are no payments on account of Class 2 contributions.
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