Tax return time!

[Petrolman]

The amount might sound right but still sounds alot of money tax wise.

Ah to be younger without the worry of tax much lol

Thankfully I don't need worry about Tax Return until next year so yay but boo as well lol

Assuming 0 left on tax free allowance it is a basic rate of 20% tax, that is approximately £140. Then any applicable national insurance of course. Obviously if you earn more then your tax rate may be the higher band.

When I was 16 I started working for an oil tools company so I have never not had the worry of tax, unfortunately ;D

Will you not be filing your tax return for this year in April? I file mine as soon as it opens, that way it is done and I can make the payment and not worry for another solid year. I would be dying by this point of the year if I hadn't filed it!

Yes I'm afraid I've left it late - I plan to get organised now my main job hours have been cut lol

 

[askgar]

I'm trying to get prepared for the next year and trying to work out if I actually need to register for Self Assessment, or not. I've used the 'Check if you need to fill in a Self Assessment tax return' form on the Gov.UK site and it says no.

However it does say I'll need to contact them about untaxed income under £2500, and I also end up filling in a P87 each year to claim relief on the expenses I get through work. It feels like it would be easier for me to just register for SA and do it all through that.

 

[Jon]

do you earn money from home?

if the answer is yes then you do

The fact you may be under the tax threshold is irrelevant, you still need to submit your earnings

 

[askgar]

do you earn money from home?

if the answer is yes then you do

The fact you may be under the tax threshold is irrelevant, you still need to submit your earnings

I'm aware that I need to submit my earnings, but according to the Gov.uk website you only need to do SA if these are over £2500, if they're under then you can just call them to let them know.

If you had untaxed income under £2,500
Contact HMRC if you had any untaxed income under £2,500, eg from renting out a property or savings and investments.

You don’t have to fill in a tax return, but you’ll usually need to pay tax on this income.

From: https://www.gov.uk/check-if-you-need-a-tax-return/y/employed-even-if-just-for-part-of-the-year/no/no/no-we-claimed-child-benefit-but-neither-of-us-had-income-above-50-000/no/no/no/none-of-these (results of filling in https://www.gov.uk/check-if-you-need-a-tax-return).

 

[Jon]

do you earn money from home?

if the answer is yes then you do

The fact you may be under the tax threshold is irrelevant, you still need to submit your earnings

I'm aware that I need to submit my earnings, but according to the Gov.uk website you only need to do SA if these are over £2500, if they're under then you can just call them to let them know.

If you had untaxed income under £2,500
Contact HMRC if you had any untaxed income under £2,500, eg from renting out a property or savings and investments.

You don’t have to fill in a tax return, but you’ll usually need to pay tax on this income.

From: https://www.gov.uk/check-if-you-need-a-tax-return/y/employed-even-if-just-for-part-of-the-year/no/no/no-we-claimed-child-benefit-but-neither-of-us-had-income-above-50-000/no/no/no/none-of-these (results of filling in https://www.gov.uk/check-if-you-need-a-tax-return).

I forget what you do to earn money online but you must bust over that £2500 limit ?

 

[askgar]

do you earn money from home?

if the answer is yes then you do

The fact you may be under the tax threshold is irrelevant, you still need to submit your earnings

I'm aware that I need to submit my earnings, but according to the Gov.uk website you only need to do SA if these are over £2500, if they're under then you can just call them to let them know.

If you had untaxed income under £2,500
Contact HMRC if you had any untaxed income under £2,500, eg from renting out a property or savings and investments.

You don’t have to fill in a tax return, but you’ll usually need to pay tax on this income.

From: https://www.gov.uk/check-if-you-need-a-tax-return/y/employed-even-if-just-for-part-of-the-year/no/no/no-we-claimed-child-benefit-but-neither-of-us-had-income-above-50-000/no/no/no/none-of-these (results of filling in https://www.gov.uk/check-if-you-need-a-tax-return).

I forget what you do to earn money online but you must bust over that £2500 limit ?

Only really MB (which doesn't need to be declared) and a few things like the app jobs (FieldAgent, etc.) and a few surveys. I'm no where near £2500 if you don't count MB.

 

[Midnight]

I'd say yes. I didn't earn that much from my buy to let property last year but still had to do it so I think it would apply no matter how much you earn. Try ringing hmrc and asking. On the off chance they answer the phone they might be able to help

 

[SarahLu]

Will you not be filing your tax return for this year in April? I file mine as soon as it opens, that way it is done and I can make the payment and not worry for another solid year. I would be dying by this point of the year if I hadn't filed it!

I will be doing my first tax return in April and I plan on getting it done straight away too. I've been setting aside money to cover my tax so I don't see any point in waiting to pay it - I'd probably just forget that money was for tax and spend it! Might as well get rid ASAP and see what I've got left for myself!

 

[katykicker]

Will you not be filing your tax return for this year in April? I file mine as soon as it opens, that way it is done and I can make the payment and not worry for another solid year. I would be dying by this point of the year if I hadn't filed it!

I will be doing my first tax return in April and I plan on getting it done straight away too. I've been setting aside money to cover my tax so I don't see any point in waiting to pay it - I'd probably just forget that money was for tax and spend it! Might as well get rid ASAP and see what I've got left for myself!

That's what I do - then I have a big spend up with the leftovers!

 

[jellyfox]

Super close to the deadline I know - will be more organised next year, but what do people put for 'business description' on the self assessment for online earnings?

 

[katykicker]

I believe I was a bit tongue in cheek and put something like 'general online dogsbody' and then something like 'surveys, mystery shopping and more'.

I think it was in that box anyway. I always write the same thing though.

 

[Jon]

yeah I just write 'Mystery Shopping and Freelance Work' from memory

 

[Kellyb]

Hi everyone, I only started self employed stuff in July time last year- when do I fill in the self assessment stuff? Jan or April? Thanks

 

[Jon]

Hi everyone, I only started self employed stuff in July time last year- when do I fill in the self assessment stuff? Jan or April? Thanks

AFTER april

 

[Kellyb]

Thanks [member=1]Jon[/member] was worried I wasn't doing something I should be! Does the tax man send a reminder or are you expected to know when to file

 

[Jon]

Thanks [member=1]Jon[/member] was worried I wasn't doing something I should be! Does the tax man send a reminder or are you expected to know when to file

you've already registered as self employed I assume since you said you started earning money last July

From memory you get an email but really once you hit April, grab that P60 from work (if you are employed full time as WELL as self employed like me) and enter all the figures you have for employment

 

[Kellyb]

Got it, thank you

 

[Uhhhhh]

[member=1]Jon[/member] [member=920]katykicker[/member] can I have some advice, please?

I'm just on with mine at the moment (giving myself a pat on the back for making a heavily detailed spreadsheet and sticking to it 8)), but have a question on behalf of my partner who is just getting around to registering. A previous employer helped me to set mine up so I can't remember the process of registering - I just do the returns when prompted :.

Anyway, he started doing freelance work in April 2015 (a bit of mystery shopping and tutoring mainly), and we saw online that he has until 5th October of the business' second tax year to register and (very typically of him) he pushed it to the back of his mind until now and he's seen me sorting out my tax return...anyway, so am I correct in thinking that he technically has until October 2016 to register? He's going to register this afternoon but wondered what the next step is from here in terms of the tax returns. He was working as an employee for a business until August 2015 so now his freelance work is his only income. Should he register as self-employed today and then try to squeeze in the tax return before the end of the month?

Any advice would be appreciated, it's a bit of a minefield.

 

[katykicker]

This is a bit of a grey area for me [member=2431]Uhhhhh[/member] as I registered the first day...

Is he a business rather than a sole trader? I thought that sole traders had to register within 3 months, or contact HMRC for further advice if wishing to claim for a longer period.

I'm only really confident-ish with the rules for sole traders, not people registering as a business.

This is a sole trader's definition: If you’re a sole trader, you run your own business as an individual and are self-employed.

Seems like the date you've said could be right: https://www.gov.uk/set-up-sole-trader/register

It must have changed since I registered, as I'm sure a few years ago it was within 3 months.

Edited to add - Sorry if that isn't much helped. Seems like you've got the date right but perhaps you'd want to ring to check how it works with this years tax return being put through?

 

[Uhhhhh]

[member=920]katykicker[/member]

I think he'd be defined as a sole trader as he just does mystery shopping, some of the app work, prolific academy and some freelance language tutoring so it's not exactly a 'business' as such, so does 'sole trader' sound correct?

That's what got me confused about registering as that's what I read (about registering within 3 months) when I first got started, but he told me he saw the information about having to be registered by 5 October in your second tax year. So he felt a bit complacent I think, that he'd have plenty of time to get around to it.