Potential Additional Income / Tax Implications

mrpootle

I work full time and have an opportunity to deliver some training around the country in my own time, This could be lucrative at around £700 - £800 per day for up to 30 days per year. I am used to tax and NI being deducted at source by my employer and am keen to do things "by the book" with this additional income. Can anyone offer any advice on what I should do next ?

Thanks

Peter_Pan

Would be best to contact your tax office from a payslip and let them know , they will then advise you what action you need to take.

Debbie

jackomdj

Is this separate tomyour day job? If so notify tax man, keep record of income and associated expenses, keep receipts (petrol, food, printing, stationery etc) at end of year prepare a set of accounts (or get an accountant to do it), prepare tax return and pay the tax owed when it becomes due. You may have to pay NI or may be under the limit and can claim an exception.

heather_helo

you would be classed as self employed. you need to register with hmrc - form cwf1. you have 3 months from becoming self employed to register. failure to do so will result in fines.
you will have to submit a tax return for year ended 5th april 2012, provided u start earning in this year. recommend you find an accountant, as there are a few business options with regards to ltd company / sole trader - it all depends on your taxable income from your current employment.

as above keep all receipts and keep track of your mileage - can get up to 40p per mile for traveling.
hope this helps!