Rules on tax for extra side income

NOVAMET21

Hi all

Does anyone know the rules for self assessment for extra income?
Lets say the income from the main job is £12,501 which is above the tax threshold.
The side job is 4 hours a week earning £11 ph. Does the extra income needs to be declared too?

Thanks

scaredofdebt

You have to declare any additional income over £1,000 (assuming you earn enough to pay tax) - you can deduct certain things that are related to the job, ie costs such as travelling, consumables etc.


https://emmadrew.info/declaring-extra-income-to-hmrc/

unforeseen

scaredofdebt wrote: »

You have to declare any additional income over £1,000 (assuming you earn enough to pay tax) - you can deduct certain things that are related to the job, ie costs such as travelling, consumables etc.


https://emmadrew.info/declaring-extra-income-to-hmrc/

It's gross income before costs/expenses

From your own link

The £1,000 per year is gross, meaning that it is what you earn before you pay any expenses out. If you earn £1,100 and your expenses have been £1,000 then you still need to register and complete a self assessment.

vegasvisitor

ANMOLAG wrote: »

Hi all

Does anyone know the rules for self assessment for extra income?
The income from the main job is £14,000 which is above the tax threshold.
The side hussle is 4 hours a week doing house cleaning earning £11 ph. Does the extra income needs to be declared too? Probably yes but what % of these people do declare? What are the consequences? I assume people make extra income from car boot sales too.

Thanks

Yes, £44 per week is over £2000 per year, so you need to register as self employed. You will be eligible to pay tax on any profit you make. You will enter your total income and total expenses on your tax return. You could claim travel, but will need receipts unless you are driving. You need to be keeping receipts and recording all income.

Consequences are that you can be fined if you don't. You'd then pay the tax plus the fine. Not worth it, is it?

trailingspouse

Just because other people are not declaring 'side income' (or as it's know to HMRC, 'income'), doesn't mean it's OK.



Personally, I declare every penny of income, and claim every penny of expenses - why would anyone do any different?

wesleyad

I don't understand these posts, the answer is obvious. What are you wanting people to say?

"oh no extra income from 2nd jobs is tax free! No need to declare that, HMRC dont care!"

And this "side income" appears to be almost £2.5K, it's not like a few quid here and there.

jlemaitre

SO what if your brothers partner makes and sells stuff on FB, has 2 point 5 children. 3 different dads, They rent of council and get what we believe £30,000 benefits a year plus my brothers wages roughly £18,000. Unknown money from the other 4 children's dads.

She dont work, but can work. If she makes stuff to sell using money from the benefit system, Does this need to be declared? or not as per post #2?