NICs could be abolished, say tax simplification experts
Heads of the Office of Tax Simplification may suggest combining income tax and NICs as part of its advice to government
THE OFFICE OF TAX SIMPLIFICATION could recommend the abolition of National Insurance Contributions (NICs), according to its joint heads.
John Whiting and Michael Jack, in an interview with TAXtv, suggested that it could advise the Treasury to combine income tax and NICs as one figure.
“I think we have to be brave,” said Whiting. “These are the things you have to sort out if you really want to make a difference.”
Whiting also hinted that the self employed and employed could be united in a common tax system.
“You cannot expect to sort out this area of tax with simply more patch and mend,” added Jack. “You’ve got to take it out and redo it.”