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

Please answer.
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  • jajjan
    jajjan Posts: 19 Forumite
    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
    Darksparkle Posts: 5,465 Forumite
    edited 1 October 2017 at 1:54PM
    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
    TELLIT01 Posts: 18,650 Forumite
    Part of the Furniture 10,000 Posts Name Dropper PPI Party Pooper
    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.
  • 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
    poppy12345 Posts: 18,977 Forumite
    Part of the Furniture 10,000 Posts Name Dropper
    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
    pipkin71 Posts: 21,820 Forumite
    10,000 Posts Combo Breaker
    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.
    There is something delicious about writing the first words of a story. You never quite know where they'll take you - Beatrix Potter
  • TELLIT01
    TELLIT01 Posts: 18,650 Forumite
    Part of the Furniture 10,000 Posts Name Dropper PPI Party Pooper
    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
    jajjan Posts: 19 Forumite
    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
    poppy12345 Posts: 18,977 Forumite
    Part of the Furniture 10,000 Posts Name Dropper
    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
    Darksparkle Posts: 5,465 Forumite
    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?
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