NIM13309 | Class 1A NICs: liability for Class 1A NICs: Class 1A NICs on sporting testimonials: example 1 - below £100,000

Megan is a professional footballer whose career has been ended by an injury. She had no expectation of receiving a testimonial as there was nothing in her contract and her club don’t usually offer testimonials to players whose careers end.

The testimonial match for her brings in £85,000 for her benefit. There will be no Class 1A charge on the proceeds as they don’t exceed the threshold of £100,000.