We'd like to remind Forumites to please avoid political debate on the Forum. This is to keep it a safe and useful space for MoneySaving discussions. Threads that are - or become - political in nature may be removed in line with the Forum’s rules. Thank you for your understanding.

I'm a bit annoyed.

seven-day-weekend
seven-day-weekend Posts: 36,755 Forumite
Part of the Furniture 10,000 Posts Name Dropper Photogenic
edited 21 August 2013 at 8:38PM in Over 50s MoneySaving
I am a professional house/petsitter. I have been doing this for just over a year.

Today I thought it was time to register with HMRC as I will need to send in a self-assessment tax form for 2012-13.

I rang them up and duly registered as self-employed. I do not have to pay NI as I am over retirement age. I also will not have to pay any tax as the combined income from my State Pension and my self-employment is less than my tax allowance.

But I still thought I would do the right thing and register and send in a tax return.

I told them the date I started my self-employment (8th April 2012, so within the appropriate tax year).

Now it appears that although my tax return is not due until October, that I am late in registering as self-employed and might be liable for a fine :mad: , even though they agreed that I do not have to pay any NI.

I am not best pleased at being fined for trying to do the right thing. I thought I could register as self-employed when I registered for self- assessment as long as I gave the correct date of starting.

I bet most people in my position would not even have registered at all.

So much for trying to do it right!:mad::mad::mad:

Rant over.

(ETA: I have done further research and it appears that as I need to pay neither tax nor NI, then this may absolve me from this rule. Hope so :)
(AKA HRH_MUngo)
Member #10 of £2 savers club
Imagine someone holding forth on biology whose only knowledge of the subject is the Book of British Birds, and you have a rough idea of what it feels like to read Richard Dawkins on theology: Terry Eagleton
«134

Comments

  • I started by own ltd company in June 2009, and it wasn't until Feb 2011 that my accountant happened to mention that I also needed to register for self assessment, and the HMRC gave me extra time to do my returns for April 2009 to April 2010. No fine, extra time.
  • seven-day-weekend
    seven-day-weekend Posts: 36,755 Forumite
    Part of the Furniture 10,000 Posts Name Dropper Photogenic
    edited 21 August 2013 at 6:13PM
    Thanks for that, that's good to hear. My tax return will not be late, it's actually registering as self-employed that I'm late for.

    I didn't think it mattered as I do not have to pay any NI.

    We'll have to wait and see.
    (AKA HRH_MUngo)
    Member #10 of £2 savers club
    Imagine someone holding forth on biology whose only knowledge of the subject is the Book of British Birds, and you have a rough idea of what it feels like to read Richard Dawkins on theology: Terry Eagleton
  • scotsbob
    scotsbob Posts: 4,632 Forumite
    I also will not have to pay any tax as the combined income from my State Pension and my self-employment is less than my tax allowance.

    If that is the case why bother to contact them, you have only given yourself a lot of hassle for nothing.

    My experience is the less contact with officialdom the better.
  • scotsbob wrote: »
    If that is the case why bother to contact them, you have only given yourself a lot of hassle for nothing.

    My experience is the less contact with officialdom the better.

    Because you are supposed to let the authorities know if you are self employed and I wanted it to be above board and legal.
    (AKA HRH_MUngo)
    Member #10 of £2 savers club
    Imagine someone holding forth on biology whose only knowledge of the subject is the Book of British Birds, and you have a rough idea of what it feels like to read Richard Dawkins on theology: Terry Eagleton
  • Dimey
    Dimey Posts: 1,434 Forumite
    Hope it turns out ok for you.

    My experience of HMRC is that you get a different answer every time you phone up.
    So maybe try asking again.
    Bit like a pinball machine.
    ~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~
    "Any more posts you want to make on something you obviously know very little about?"
    Is an actual reaction to my posts, so please don't rely on anything I say. :)
  • Biggles
    Biggles Posts: 8,209 Forumite
    1,000 Posts Combo Breaker
    You'd think the HMRC website's page 'How and when to register with HM Revenue & Customs' (http://www.hmrc.gov.uk/selfemployed/register-selfemp.htm#1) would be helpful.

    But all it says (and I kid you not) is 'It's important to let HMRC know that you're self-employed as soon as possible'. No timescale is stated. So may not exist.

    It might possibly be some help to point out to them that you read this and assumed that when you were doing your tax return would be the appropriate time......
  • Biggles wrote: »
    You'd think the HMRC website's page 'How and when to register with HM Revenue & Customs' (http://www.hmrc.gov.uk/selfemployed/register-selfemp.htm#1) would be helpful.

    But all it says (and I kid you not) is 'It's important to let HMRC know that you're self-employed as soon as possible'. No timescale is stated. So may not exist.

    It might possibly be some help to point out to them that you read this and assumed that when you were doing your tax return would be the appropriate time......


    Brilliant Biggles, thanks! I was going to say that anyway. I did think it would be OK, seeing as I didn't have to pay NI, to do it with my tax return. But now I can point out that their site does not give a timescale :) Thanks again .
    (AKA HRH_MUngo)
    Member #10 of £2 savers club
    Imagine someone holding forth on biology whose only knowledge of the subject is the Book of British Birds, and you have a rough idea of what it feels like to read Richard Dawkins on theology: Terry Eagleton
  • zygurat789
    zygurat789 Posts: 4,263 Forumite
    Part of the Furniture Combo Breaker
    I am a professional house/petsitter. I have been doing this for just over a year.

    Today I thought it was time to register with HMRC as I will need to send in a self-assessment tax form for 2012-13.

    I rang them up and duly registered as self-employed. I do not have to pay NI as I am over retirement age. I also will not have to pay any tax as the combined income from my State Pension and my self-employment is less than my tax allowance.

    But I still thought I would do the right thing and register and send in a tax return.

    I told them the date I started my self-employment (8th April 2012, so within the appropriate tax year).

    Now it appears that although my tax return is not due until October, that I am late in registering as self-employed and might be liable for a fine :mad: , even though they agreed that I do not have to pay any NI.

    I am not best pleased at being fined for trying to do the right thing. I thought I could register as self-employed when I registered for self- assessment as long as I gave the correct date of starting.

    I bet most people in my position would not even have registered at all.

    So much for trying to do it right!:mad::mad::mad:

    Rant over.

    (ETA: I have done further research and it appears that as I need to pay neither tax nor NI, then this may absolve me from this rule. Hope so :)

    Not long ago HMRC said that if you HAD NOT registered for self-employment within 3 months of starting then you WOULD be fined £100.
    Now their wording is somewhat different and you should be OK, especially as you confessed.
    It is worth noting that you did not do the right thing in that, I'm sure you would agree, you did not register as soon as possible. Ignorem neminem excusat. You should have researched the requirements before you went self-employed. And people think the EU is full of [STRIKE]B l sh t[/STRIKE] bureaucracy.
    The only thing that is constant is change.
  • Yes Zygurat, I should have learned by my age that I should not assume! Just because I do not have to pay NI, did not mean it was OK to register late. I hold my hands up and accept I got it wrong.

    I just think it would be a bit churlish of them to fine me as I owe no-one any money.

    Thanks to everyone for their input.
    (AKA HRH_MUngo)
    Member #10 of £2 savers club
    Imagine someone holding forth on biology whose only knowledge of the subject is the Book of British Birds, and you have a rough idea of what it feels like to read Richard Dawkins on theology: Terry Eagleton
  • chesky
    chesky Posts: 1,341 Forumite
    Eighth Anniversary 1,000 Posts
    Change your name to Seven-day-Starbucks - you'll be OK then.,
This discussion has been closed.
Meet your Ambassadors

Categories

  • All Categories
  • 347.8K Banking & Borrowing
  • 251.9K Reduce Debt & Boost Income
  • 452.2K Spending & Discounts
  • 240.1K Work, Benefits & Business
  • 616.2K Mortgages, Homes & Bills
  • 175.3K Life & Family
  • 253.4K Travel & Transport
  • 1.5M Hobbies & Leisure
  • 16K Discuss & Feedback
  • 15.1K Coronavirus Support Boards

Is this how you want to be seen?

We see you are using a default avatar. It takes only a few seconds to pick a picture.