Self Assessment question - Contractor who is subcontracting

noss

Not sure if this post fits in here, but here goes: I am currently a contractor for a company which uses my services for design related work for which I get paid around 1,300 per month (I am home based). I subcontract most of this design work to a designer in Russia and pay him around £400 per month.

May sound like a silly question but do I pay tax on the £1300 or only on £900?

I also get other work done which is not related to my contract which comes to around £100pm extra for building a website which I hope to help me in my business. Will this be classed as an expense to me, so that my taxable income is £800 rather than £900?

Horseunderwater

You'd do better posting this on the tax cutting board I think. More people will be on there who know.

justlooking2012

The best rule of thumb is that you only pay tax on profits, also you can pay certain things out of it, if you work from home, mobiles, internet bill etc etc. But as every situation is unique either ask on the proper forum or see an accoountant. When I was on self assessment I thought I was saving money doing it myself but I really was not.