Self assessment question???

chuckyhen

I'm sorry this is probably a really daft question (!) but as I registered as self-employed in September 2009, up until then I have always been employed, do I have to complete an online self assessment this year - as in at the end of this month? (I'm all registered on the Gateway) or do I wait until next January and complete from September 2009 - January 2011???

Since leaving full employment in August, then going self employed (freelance) in September, in November I also started working part-time to keep the pennies coming in - will I get a quarterly Class 4 NIC bill too? I currently pay tax and NI through PAYE as an employee.

Thanks

PlutoinCapricorn

You registered in the middle of tax year 2009/10, which ends on April 5th 2010. This means that your first self assessed tax return will be for this tax year and will need to be completed any time between April 6th 2010 and January 31st 2011.

So there is no need to worry about the Jan 31st 2010 deadline: that is for 2008/09.
However, it is best to do things in good time and not leave filing until the last minute. Registering with Gateway to file online was a good idea as completing your return online makes everything much simpler.

As for National Insurance: you should be paying around £2.50 per week Class 2, unless you claimed exemption on the grounds of expected low e nearnings. When your tax is calculated when you file online, there may be a Class 4 levy depending on how much your profit is.

janet.m_2

It sounds as if you really would be best advised to go and see a qualified accountant. Although you do not need to submit a 2009 tax return form, it may be that you are due a tax refund for 2009, you could claim exception from Class 2 NIC ( although the downsides of that need to be considered) amongst other things. It need not be expensive and they will deal with all these things for you, removing the worry of making expensive accidental mistakes leaving you free to concentrate on making money.

Best of luck

fengirl_2

Am at a loss to know why janet thinks the OP may be due a tax refund for 2009 since this is not mentioned in his original post - we know nothing about his circumstances for that year. Please dont muddy the waters by introducing imaginary scenarios into a question where the OP is struggling to deal with his current situation.

paulwf

Just a quick addition, as you started earning as self employed in September 2009 but may not have to pay the tax bill until January 2011 please remember to put some money aside each month towards tax...and don't touch it!