Chapter 10 - Class 1 NIC and Director Flashcards
1
Q
Annual Earnings Period
A
AEP coincides with tax year. Each time the director is paid their total earnings to date are compared to the annual primary threshold (£8,424) and the UEL (£46,350). Ie the NIC calc is done on a cumulative basis.
If the director is appointed during the tax year, the AEP is pro rated.
