Islanders who pay class two national insurance (NI) contributions are being reminded they should continue to pay this way for the forthcoming tax year.

The Manx government is issuing the reminder as the UK government announced plans late last year to abolish the class, and how that decision effects those living in the island has yet to be confirmed.

A decision has therefore been taken by Treasury to continue collecting class two NI for the foreseeable future to avoid any uncertainty, including the upcoming tax year, April 6 2024 to April 5 2025.

People who pay NI this way, usually self-employed individuals, should ensure their direct debit arrangements remain in place at the turn of the financial year.

Treasury Minister Dr Alex Allinson supplied Tynwald members with an update at the December sitting, informing them of the reason for the island’s position. He said: ‘I do not feel that it is appropriate to follow the UK when significant details have still yet to be published. Once Treasury fully understand the impact of the changes announced by the UK a decision will be made as to how we will proceed.’

For further information on NI, contact the income tax team by calling 685400 or emailing [email protected].