new to PAYE - tax seems a lot!

Savvy_Sue

To be fair, you can do it either way.

If you then end up paying tax at BR on the PAYE job, then you declare that on your tax return, and that reduces the amount of tax you owe on your self-employment. Plus you don't have to keep it in a safe place and not spend it.

I believe you could also tell HMRC how much you expect your profit from self-employment to be, and ask them to reduce your tax code on your PAYE job to take that into account.

Whatever you do, Keep Good Records!

wallofbeans

Savvy_Sue wrote: »

To be fair, you can do it either way.

If you then end up paying tax at BR on the PAYE job, then you declare that on your tax return, and that reduces the amount of tax you owe on your self-employment. Plus you don't have to keep it in a safe place and not spend it.

I believe you could also tell HMRC how much you expect your profit from self-employment to be, and ask them to reduce your tax code on your PAYE job to take that into account.

Whatever you do, Keep Good Records!

I think my self-employment is going to go down to almost nothing after the end of this month and I have no idea when or if it'll pick up again.. Hence the proper job!

If possible, I'd rather I had the money in my account and had to give them more later, rather than the other way around...

Thanks for all the help.

wallofbeans

Hello again,

I contacted HMRC and just got a letter saying they've now changed my tax code. I wanted to check with some clever people that it's now correct.

It now says my tax code is 1060L, which I assume is good?

It says that this tax code is for the year from 6 April 2015, which I'm not entirely happy with as I didn't start my first PAYE job until 1st September 2015 so I'd rather it started from then...

Before that I was self-employed and doing my own tax returns. And they took a chunk of money from me a few months ago.

Will I now have to do my tax return this year differently? I wont be doing much self-employed now but a few things will always come up here and there. What's the best way to play this?

Thanks all!