employed plus self employed.

windswept

when you have to fill in a self assessment form, what happens if you are an employee as well as being self-employed? both myself and hubby work for employers as well as having our own retail business on a partnership basis. do you pay tax as normal as an employee and then get individual tax bills for the business? ( supposing there are actually profits). I understand that one partner fills in the partnership form. we have registered with hmrc but if I remember correctly, as 50% equal partners, I need to change this as hubby has just had a large payrise and promotion so will be close to the higher tax band and I have taken another job with less hours so I can focus on the business, so 80/20 seems more appropriate now. do I just ring hmrc and tell them this? thanks for any answers in advance.

Hoddie_2

The only place that you record the 80/20 split is on the partnership tax return. Each partner's share of the profit/loss is recorded on their personal tax returns, together with any employment (PAYE) income.