NIM25016 - Class 3 NICs: Restrictions on the right to pay: precluded Class 3 NICs: married women and widows with a reduced rate election

Regulation 132 Social Security (Contributions) Regulations 2001

As explained in NIM25001, a person is precluded from paying (i.e. is not entitled to pay) Class 3 NICs in certain circumstances. One of those is that a married woman or widow cannot pay for any tax year during the whole of which a reduced rate election is in force (see NIM30000 for married women; NIM31000 for widows).

A woman can choose to revoke her election at any time before she reaches State Pension age but cannot backdate an application. Where the election is not in force for the whole of a tax year they can pay from that tax year onwards (if they meet the other conditions).

Example

Mrs Mangle was born in 1956. In March 1976, she elected, as a married woman, from 6 April 1976:

• to pay Class 1 NICs at the reduced rate; and
• not to pay Class 2 NICs when self-employed.

In May 2011, concerned about her future pension entitlement, she chose to revoke that election with effect from 1 June 2011 (NIM30011).

Mrs Mangle is precluded from paying Class 3 NICs for the 1975/76 to 2010/11 tax years. During the whole of each of those years, she had a reduced rate election. If she needed to, though, and so long as she is not precluded from doing so for some other reason, she may pay Class 3 NICs for the 2011/12 tax year. The election was not in force for the whole of that year as she revoked it from 1 June 2011.

For details of the other circumstances in which a person is precluded from paying Class 3 NICs, see NIM25006 - NIM25015 and NIM25017.