½Û×ÓÊÓƵ

Class 1 and Class 4 contributions paid late remain due at the level appropriate to the year to which they relate, and Class 2 contributions (if any) normally at the rate appropriate to the year to which they relate or at any higher rate which applied between that year and the actual date of payment, provided the latter falls after the end of the year following that to which they relate (see E8.405). From April 2015, underpayments of compulsory Class 2 contributions become subject to interest and penalties in the same way as Class 4, so the uplift to the rate for later years does not apply. However, the old regime is maintained for voluntary Class 2 contributions paid late. For Class 3 contributions see E8.401. HMRC are empowered to take proceedings for recovery and penalties and interest may be chargeable other than in respect of Class 3 and Class 3A contributions, which are voluntary. Time-limits are, however, laid down beyond which payments made are disregarded for the purpose of calculating benefit entitlement¹. Payments made