Common use of TAX AND NATIONAL INSURANCE Clause in Contracts

TAX AND NATIONAL INSURANCE. Tax and National Insurance is payable only when a worker exceeds the Tax Threshold limit governed by HM Revenue and Customs (xxx.xxxx.xxx.xx). For example, this threshold is set at £11,000 for an individual in the 2016/17 tax year. If the self-employed or freelance worker does not or is unlikely to exceed this personal allowance threshold, then both you and the worker are not required to take the action outlined below.