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Consultation: Aligning the time limits for the recovery of National Insurance with Income Tax

27 July, 2026

HMRC have published a consultation on proposals to align the time limits for the recovery of National Insurance with Income Tax ('the consultation'). 

The consultation seeks views on proposals to:

  • remove National Insurance from the scope of the Limitation Act 1980 and Limitation (Northern Ireland) Order 1989
  • introduce a statutory Notice of National Insurance Liability
  • align the time limits for recovery of National Insurance debts with those for tax
  • align the time limits for repayments of overpaid National Insurance with those for tax

In the consultation, HMRC recognise that Income Tax and National Insurance are currently subject to different recovery and repayment frameworks. The Income Tax legislation has behaviour-based time limits, such that HMRC can recover debts for up to 4 years, increasing to 6 years if the inaccuracy was careless (12 years for offshore matters) and 20 years if the inaccuracy was deliberate.

These rules do not currently apply for National Insurance purposes, which is normally subject a 6-year time limit under the Limitation Act or the Limitation (Northern Ireland) Order 1989 in Northern Ireland. There is however a 20 year limit in Scotland per the Prescription and Limitation (Scotland) Act 1973.

A similar distinction in treatment applies for claiming repayments from HMRC for overpaid Income Tax and National Insurance, being 4 years for Income Tax and 6 years for National Insurance.

The proposal in the consultation would see the National Insurance rules align with Income Tax, such that the period for HMRC to recover National Insurance debts reduces from six years to four years (unless there is careless or deliberate conduct or the inaccuracy relates to offshore matters). HMRC also propose a reduction in the time period for claiming refunds of overpaid National Insurance, which would also reduce from six years to four years. 

The ATT will be responding to the consultation and would welcome feedback from members for consideration as part of our response. Please email [email protected] with your comments before 17 September 2026. 

 
 


 

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