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Tax summary - include National Insurance for sole traders

Hi all,

I love the tax reports on quickfile showing what current liability is. Are there any plans to include what liability is for class 2 and class 4 contributions for a sole trader?.

Chris

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Hi @Chris_Thompson

Thank you for the feedback!

There aren’t any plans at the moment, but I’ve moved your thread to the “Feature” category, and we’ll keep an eye on the interest in this.

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I’m glad that Chris has raised this subject. I too would like to see this feature implemented. I’m sure there is a good level of interest out there for this.

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Agreed,
it should be a simple 2 line addition under the “Adjusted Taxable Profit”.
Simple due to each NI being based on a certain size of profit.

Maybe
A tick box for Class 2 for those who choose to lay class 2 voluntarily.
Plus a tick box for those who are exempt from paying Class 4

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I would love to have this feature. Having recently joined QF as a freelance sole trader I’m looking at ways to plan tax and NI payments and be proactive in this respect. Please add a feature for me to see NI contributions in my P&L reports etc!! You offer so much yet this is vital.

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I’ve just trialed the Starling Bank Business Toolkit which includes bookkeeping. It has an excellent tax summary report which does include Class 2 and Class 4 NI. It’s making me think of switching as I want to know how much money to put aside for my tax bill each month!

The issue I foresee with including class 2 and 4 in the summary is quite alot.

You have things like capital allowances, AIA, all changing your liabilities, you have some sole traders not registered for class 2, you have some who also have employment income and will pay a reduced amount of class 2. You have losses offset from other trades which reduces tax but not ni. You have pensionable people who wouldn’t pay it. There are loads more. Scenarios which quickfile can not possibly take in to account when calculating ni contributions. It will not give a clear and accurate estimate of what’s due.

What would, is if people learned what they owe by knowing tax rules, and looking up the thresholds for current tax years.

Accounting software can only be so good. At some point it takes human knowledge.