Hi... Like many people I'd like to do the odd "job on the side" to boost my income whilst keeping my full time job without complications. My employer is happy for me to do this and I can get the work but what do I need to do tax-wise? I've searched high and low (mainly on Google) to find advise on what to do and HOW to do it but nothing seems to answer my main concern... How do I avoid the tax man getting the hump with me. So my question to you all is... Can anyone give me a basic step by step guide to what I need to do? I figure it's something along the lines of... 1. get some work 2. tell the tax man I'm doing it 3. calculate how much I owe 4. pay the taxman 5. start the next job But I really could do with some help on each point. Thanks John
Who said "tax needent be taxing" ! yeah right!!! My advice would be for you to do your own tax return for each tax year, including your seperate income.... might be an idea to ask the Tax office too. (Or open an off shore account!! ) Best of luck anyway! :bye
Tax advice I agree with OnePlan but here's a simple guide under the new budget. Your personal allowance will probably be £5,435 (unless you have a non-standared tax code) You will be taxed at 20% for the first £36,000 of your salary. (Remember to take off your personal allowance) Therefore £5,435 (your personal allowance) will be tax free. The next £30,565 will be taxed at 20%. If you earn £36,000 this would cost you £6,113 in tax. Any earnings above this are taxed at 40%. Hope this helps, Jonathan If any freelancer needs an accountant drop me an e-mail - jonathanharker2006@yahoo.co.uk
Looks like your question has been answered on the FreelanceUK news front-page :cool2 How do I freelance on the side? :: Freelance UK
