Declaring side hustle incomes

Anon620

I started a small Etsy business at the end of 2022. Since April 6th 2023 till now, I’ve made approximately £950 in revenue. I assume I will make £1000 before April 5th 2024. Therefore I am wondering whether I need to register for Self Assessment and/or Sole Trader. If yes, which one and when do I need to do this by? 

For further context, I work part time earning approximately £13,000 per annum currently. I also intend to start another side hustle (teaching dance) in addition to the above Etsy shop in the next few months. 

I would really appreciate any guidance as it seems like a complicated thing to wrap my head around right now! Feel free to break it down as simply as you can!

Thanks in advance!

Dazed_and_C0nfused

Anon620 said:

I started a small Etsy business at the end of 2022. Since April 6th 2023 till now, I’ve made approximately £950 in revenue. I assume I will make £1000 before April 5th 2024. Therefore I am wondering whether I need to register for Self Assessment and/or Sole Trader. If yes, which one and when do I need to do this by? 

For further context, I work part time earning approximately £13,000 per annum currently. I also intend to start another side hustle (teaching dance) in addition to the above Etsy shop in the next few months. 

I would really appreciate any guidance as it seems like a complicated thing to wrap my head around right now! Feel free to break it down as simply as you can!

Thanks in advance!

Yes you should register for Self Assessment once your turnover reaches £1,001.

Assuming you didn't have turnover of £1,001 or more in the period to 5 April 2023 then you have until October to register but it's pointless waiting, you might as well do it it sooner rather than later.

Any tax due for the current tax year will be payable on 31 January 2025.  And your return must be filed by then (assuming you have registered and been sent a notice to file a return by HMRC).

Anon620

Dazed_and_C0nfused said:

Anon620 said:

I started a small Etsy business at the end of 2022. Since April 6th 2023 till now, I’ve made approximately £950 in revenue. I assume I will make £1000 before April 5th 2024. Therefore I am wondering whether I need to register for Self Assessment and/or Sole Trader. If yes, which one and when do I need to do this by? 

For further context, I work part time earning approximately £13,000 per annum currently. I also intend to start another side hustle (teaching dance) in addition to the above Etsy shop in the next few months. 

I would really appreciate any guidance as it seems like a complicated thing to wrap my head around right now! Feel free to break it down as simply as you can!

Thanks in advance!

Yes you should register for Self Assessment once your turnover reaches £1,001.

Assuming you didn't have turnover of £1,001 or more in the period to 5 April 2023 then you have until October to register but it's pointless waiting, you might as well do it it sooner rather than later.

Any tax due for the current tax year will be payable on 31 January 2025.  And your return must be filed by then (assuming you have registered and been sent a notice to file a return by HMRC).

Thank you for that clarity! If I may ask, do you know if I need to register as a sole trader or just purely declare the additional income amount? Thanks! 

Dazed_and_C0nfused

Anon620 said:

Dazed_and_C0nfused said:

Anon620 said:

I started a small Etsy business at the end of 2022. Since April 6th 2023 till now, I’ve made approximately £950 in revenue. I assume I will make £1000 before April 5th 2024. Therefore I am wondering whether I need to register for Self Assessment and/or Sole Trader. If yes, which one and when do I need to do this by? 

For further context, I work part time earning approximately £13,000 per annum currently. I also intend to start another side hustle (teaching dance) in addition to the above Etsy shop in the next few months. 

I would really appreciate any guidance as it seems like a complicated thing to wrap my head around right now! Feel free to break it down as simply as you can!

Thanks in advance!

Yes you should register for Self Assessment once your turnover reaches £1,001.

Assuming you didn't have turnover of £1,001 or more in the period to 5 April 2023 then you have until October to register but it's pointless waiting, you might as well do it it sooner rather than later.

Any tax due for the current tax year will be payable on 31 January 2025.  And your return must be filed by then (assuming you have registered and been sent a notice to file a return by HMRC).

Thank you for that clarity! If I may ask, do you know if I need to register as a sole trader or just purely declare the additional income amount? Thanks! 

You are registering for Self Assessment as a sole trader (form CWF1 I think).

When you file your tax return you include ALL taxable income (and any tax deducted at source like PAYE).