do you have to pay tax on esa wen on permitted work and self employment

jajjan

Please answer.

jajjan

for example you get £15000 (a year) for all the benefits an then can earn £120 extra through self employment (via permitted work). How much tax you will have to pay?

Darksparkle

Depends what type. Contributions based ESA is taxable, income based Esa is not.

If your total taxable income is over your personal allowance (£11,500 this year) then you’ll have tax to pay.

TELLIT01

Earn £120 through permitted work over what period? Unless the figures have changed in the past couple of years £120 would be over the limit for permitted work if that is a weekly sum.

Darksparkle

TELLIT01 wrote: »

Earn £120 through permitted work over what period? Unless the figures have changed in the past couple of years £120 would be over the limit for permitted work if that is a weekly sum.

https://www.gov.uk/employment-support-allowance/eligibility

poppy12345

TELLIT01 wrote: »

Earn £120 through permitted work over what period? Unless the figures have changed in the past couple of years £120 would be over the limit for permitted work if that is a weekly sum.

It's up to £120 per week, working less than 16 hours.

pipkin71

TELLIT01 wrote: »

Earn £120 through permitted work over what period? Unless the figures have changed in the past couple of years £120 would be over the limit for permitted work if that is a weekly sum.

You can earn up to £120 per week and there isn't a set length of time if you're in the support group.

TELLIT01

poppy12345 wrote: »

It's up to £120 per week, working less than 16 hours.

Thanks for the clarification. It has increased since I stopped working on ESA.

jajjan

Its ESA! So how much tax if getting say around £15000 (including all benefits) a year and then addition £120 a week for a year through self employment?

poppy12345

jajjan wrote: »

Its ESA! So how much tax if getting say around £15000 (including all benefits) a year and then addition £120 a week for a year through self employment?

Yes we know it's ESA but is it Contribution based or Income Related? As DS has already stated CB ESA is taxable and Income Related isn't.

Darksparkle

poppy12345 wrote: »

Yes we know it's ESA but is it Contribution based or Income Related? As DS has already stated CB ESA is taxable and Income Related isn't.

My fault, I wrote JSA instead of esa by mistake at income based. Edited now.

OP you say £15,000 from all benefits, what other benefits?