Personal Allowance

veddycent

Hi all me again

Nearly finished filling in my SA online but I'm a bit stumped as to where I enter my Personal Allowance and how much NI paid, like on the paper application

Regards

InsertWittyName

In the 'Tailor your Return' section, you need to select 'YES' in the box that asks if you were an employee.

Screenshot here: http://www.hmrc.gov.uk/demo/individual/self-assessment/tailor-your-return/504.html

veddycent

Sorry my fault forgot to mention I'm self employed so don't have an employee.

BoGoF

You don't enter either. The personal allowance will be given automatically in your calculation and for the purposes of self assessment the amount of Class 2 NIC (I assume that's what you mean) you have already paid has no relevance to your calculation.

PlutoinCapricorn

The Class 4 NI levy (if any) will be also calculated automatically, on the basis of your profit.

It may not be possible if you have a high volume of transactions, but I maintain a spreadsheet of which one page is a calculation of tax due on the basis of income as a sole trader, expenses and profit. I put the current personal allowance in, and compute the figure that the online calculation is expected to arrive at. This gives me some idea of what to expect, enables me to understand how HMRC does the calculations and ensures that HMRC have got it right.