PTP's Tax Tip No.30 ' Director's fees and state second pension
Q: I am a partner in a firm of accountants and also a director of a sister company to the firm. My taxable income consists of my partnership profit share and dividends from the company. I pay Class 2 and Class 4 national insurance contributions. Will I be entitled to any state second pension and, if not, should I do anything about it?
A: Only Class 1 contributors will qualify for the state second pension (S2P).