Miscellaneous income

tribetown

I fill out a self assessment for my daily work.
For the 2024/2025 tax year I have income from staking cryptocurrency of about £2000.

I understand this comes under the trading and miscellaneous income allowance.
Box 17 of the SA100.

When I input the amount do I input £2000 or deduct the £1000 allowance or is that done automatically?

Thanks for any help

Nomunnofun1

Page TRG 9

https://assets.publishing.service.gov.uk/media/670537c53b919067bb482e27/SA150_Notes_2024.pdf

tribetown

Nomunnofun1 said:

Page TRG 9

https://assets.publishing.service.gov.uk/media/670537c53b919067bb482e27/SA150_Notes_2024.pdf

Thank-you for the link, I read page 9 a few times but must admit I find it confusing.

sheramber

tribetown said:

I fill out a self assessment for my daily work.
For the 2024/2025 tax year I have income from staking cryptocurrency of about £2000.

I understand this comes under the trading and miscellaneous income allowance.
Box 17 of the SA100.

When I input the amount do I input £2000 or deduct the £1000 allowance or is that done automatically?

Thanks for any help

Is your daily work employment or self employment?

The trading allowance is allowed against all your self employed income so, if you have already claimed expenses against self employment income you cannot use the trading allowance against the misc income as well.

It misc income is your only self employment income then deduct the trading allowance as you  do not report exempted income.

See the first paragraph on page 9

tribetown

sheramber said:

tribetown said:

I fill out a self assessment for my daily work.
For the 2024/2025 tax year I have income from staking cryptocurrency of about £2000.

I understand this comes under the trading and miscellaneous income allowance.
Box 17 of the SA100.

When I input the amount do I input £2000 or deduct the £1000 allowance or is that done automatically?

Thanks for any help

Is your daily work employment or self employment?

The trading allowance is allowed against all your self employed income so, if you have already claimed expenses against self employment income you cannot use the trading allowance against the misc income as well.

It misc income is your only self employment income then deduct the trading allowance as you  do not report exempted income.

See the first paragraph on page 9

Hello,

Yes, I am a part time self-employed window cleaner. I earn below the 12,570 annual allowance.
I always input my gross income then minus my work related costs.

As far as I know I have never used the trading allowance.

With the staking rewards from Cryptocurrency which I understand is taxed under income tax it will take me over the 12,570.

sheramber

tribetown said:

sheramber said:

tribetown said:

I fill out a self assessment for my daily work.
For the 2024/2025 tax year I have income from staking cryptocurrency of about £2000.

I understand this comes under the trading and miscellaneous income allowance.
Box 17 of the SA100.

When I input the amount do I input £2000 or deduct the £1000 allowance or is that done automatically?

Thanks for any help

Is your daily work employment or self employment?

The trading allowance is allowed against all your self employed income so, if you have already claimed expenses against self employment income you cannot use the trading allowance against the misc income as well.

It misc income is your only self employment income then deduct the trading allowance as you  do not report exempted income.

See the first paragraph on page 9

Hello,

Yes, I am a part time self-employed window cleaner. I earn below the 12,570 annual allowance.
I always input my gross income then minus my work related costs.

As far as I know I have never used the trading allowance.

With the staking rewards from Cryptocurrency which I understand is taxed under income tax it will take me over the 12,570.

You cannot claim trading allowance if you claim expenses against your window cleaning business. The one trading allowance covers
 all self employment, not a trading allowance for each separate source.

It is one or the other- expenses or trading allowance.

Window cleaning +  crypto less  expenses for window cleaning or

window cleaning +  crypto  less one trading allowance of £1000, whichever is more beneficial.

tribetown

I see, thank-you for clearing that up.

Bookworm225

sheramber said:

tribetown said:

sheramber said:

tribetown said:

I fill out a self assessment for my daily work.
For the 2024/2025 tax year I have income from staking cryptocurrency of about £2000.

I understand this comes under the trading and miscellaneous income allowance.
Box 17 of the SA100.

When I input the amount do I input £2000 or deduct the £1000 allowance or is that done automatically?

Thanks for any help

Is your daily work employment or self employment?

The trading allowance is allowed against all your self employed income so, if you have already claimed expenses against self employment income you cannot use the trading allowance against the misc income as well.

It misc income is your only self employment income then deduct the trading allowance as you  do not report exempted income.

See the first paragraph on page 9

Hello,

Yes, I am a part time self-employed window cleaner. I earn below the 12,570 annual allowance.
I always input my gross income then minus my work related costs.

As far as I know I have never used the trading allowance.

With the staking rewards from Cryptocurrency which I understand is taxed under income tax it will take me over the 12,570.

You cannot claim trading allowance if you claim expenses against your window cleaning business. The one trading allowance covers
 all self employment, not a trading allowance for each separate source.

It is one or the other- expenses or trading allowance.

Window cleaning +  crypto less  expenses for window cleaning or

window cleaning +  crypto  less one trading allowance of £1000, whichever is more beneficial.

pedantically the first option should be 
Window cleaning + crypto less (actual) expenses for window cleaning less (actual) expenses for crypto trading (given he is staking and therefore trading)

Crypto tax calculator – TaxScouts

tribetown

Bookworm225

pedantically the first option should be 
Window cleaning + crypto less (actual) expenses for window cleaning less (actual) expenses for crypto trading (given he is staking and therefore trading)

Crypto tax calculator – TaxScouts

That is interesting, I have been using TaxScouts free CGT calculator for a while but I had never seen the different calculator to input staking income.

Let me give you some numbers

Profit from trading crypto 12139

Income from staking 3255

Other income (part time window cleaning) 10823

Crypto related expenses 138

After deducting 3000 allowance from the crypto profit, taxed at 18% is 1620.

But I do not understand why no income tax is due 10823 + 3255 = 14078 - 12570 = 1508 X 20% = 301.
Also 90 for class 4 NI.