Self employed and stopping

hotpot1000

HI
tax office last week told me I should have told them as soon as I stopped self employment, so you prob should do the same. I just filled in on my tax return in Jan that Id ceased but I should have told them seperately, I had to fill a form in to the effect

sarah_elton

hotpot1000 wrote: »

HI
tax office last week told me I should have told them as soon as I stopped self employment, so you prob should do the same. I just filled in on my tax return in Jan that Id ceased but I should have told them seperately, I had to fill a form in to the effect

Agree with this. I stopped doing freelance work in June of a year, so it was a long time till the next tax return and I wanted to stop paying my quarterly NI bills. Phoned HMRC and told them I'd stopped trading. They ask for a date. Make a note of it, and on the next tax return there's a box in the self-employment to write in the date you ceased trading, if you ceased during that year. Just keep the date the same and all will be well.

neil324

To late for that now as its March and i have'nt worked all year. So the date can be any really but was going to declare something towards the start of the tax year.

max2009

neil324 wrote: »

But £9250 a year is more than the minimum wage.

£9250 is £177.88 a week which based on a 40 hour week is £4.44 which is obviously below the minimum wage.

max2009

If you never worked for a year and they have no records of you claiming benefit then i am sure they will investigate further as they will ask how you supported yourself.They will also ask to see all bank statements for the past year.

neil324

max2009 wrote: »

£9250 is £177.88 a week which based on a 40 hour week is £4.44 which is obviously below the minimum wage.

The £9250 is free of tax and NI.

neil324

max2009 wrote: »

If you never worked for a year and they have no records of you claiming benefit then i am sure they will investigate further as they will ask how you supported yourself.They will also ask to see all bank statements for the past year.

Well if your declaring £6700 in interest earned plus also claiming benefits on your tax return then i'd expect them to investigate. I'm not allowed to claim benefits. Its obvious how i supported myself.

StSeavde

I've got a similar-ish situation, I was 'inbetween jobs' so I registered as self employed set myself up as a freelance accountant. I've now got a permanant job but would like to keep part of the self employed income as well - I am OK with the tax side however the NI side I'm unsure on. I was paying the minimum NIC of £9.20 ever 4 weeks, I wrote to the Newcastle office and told them I was now employed and therefore would be paying my NIC via my employment.

Will they simply stop taking the NIC?
What do I need to do for the period I was self employed regarding additional NIC?
Can I be self employed as well as employed?

neil324

StSeavde wrote: »

I've got a similar-ish situation, I was 'inbetween jobs' so I registered as self employed set myself up as a freelance accountant. I've now got a permanant job but would like to keep part of the self employed income as well - I am OK with the tax side however the NI side I'm unsure on. I was paying the minimum NIC of £9.20 ever 4 weeks, I wrote to the Newcastle office and told them I was now employed and therefore would be paying my NIC via my employment.

Will they simply stop taking the NIC?
What do I need to do for the period I was self employed regarding additional NIC?
Can I be self employed as well as employed?

Yes you can be self employed and be employed at the same time. Not 100% sure about the NIC's but if your registered as self employed then i would think you need to pay your class 2 NIC's as well.Then you pay class 4 NIC's on your self employment profit when you submit your tax return. Just had a letter today and the class 2 NIC's increase from April 6th to £2.40 a week.