Historical un-taxed earnings

grantster100

I was made redundant Aug10, was out of work for 1 month and then started working as a sub-contractor. Hence, invoicing the company for my time but without declaring/deducting tax...thru naivity and lack of knowledge really.

I want to register as self employed and start submitting annual tax returns from 7th April 2011.

I understand i need to declare i have un-taxed earnings from Sep10 but, once i register as self employed, what checks will they do into my earnings for Sept10 to March11.

I'm worried they will look into last fy and charged me for tax on earnings earned after i was made redundant..... but i dont have the money to pay it.

Advice is appreciated, thanks

CLAPTON

the tax on any self employed earnings made in the tax year 6 April 2010 to 5th April 2011 aren't due until January 2012 so you don't have a problem with that tax yet

however you need to register asap as you should be paying Class 2 NI (£2.40 per week)

chrismac1

I'd suggest gathering together your info. and going round various local accountants in their "free one hour consultation" sessions. At the very least you could gain useful information for doing your tax returns properly. You may find someone who'll do a good job for you at a reasonable price. By the nature of your post, there are almost certainly other pitfalls a decent local accountant can steer you clear of.