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Taking a second job

Hello, I am very un-savvy when it comes to TAX and how to go about things on this side of the financial spectrum so please be gentle :)

I currently work full time as a PAYE employee earning roughly £38,000 (includes overtime and occasional bonus). I have been offered a role with another company as a "consultant" which I would work in on my spare time.

1) They are aware of my first job and are happy to pay me as PAYE but I am not sure if this is better than becoming a Limited Company (one of the contractors where I work said this and then completely lost me with different bonus options and dividends).

2) If I did go as a PAYE, would I have to fill out a self assessment form as I would definately go into the 40% tax bracket for the combined incomes. If I did, when would I go about this and is it complicated to work out taxes and NI owed?

Any thoughts would be great as I am a bit confused as to what to do.

Many thanks,

CCK.

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