just registered as self-emplyed, please help with tax! thx.

[belindalat]

i just registered as self-emplyed last month. this is my only job. no employee yet.
few Qs about the tax, please help!

i registered on 25/08/2010
will start trading on 25/09/2010
expect to make a sale before x'mas of 5000pounds. and profit will be 1000pounds.
in 2011, before april, will make antther sale of 10000pounds, and 2000 profits.

so for this tax year:

1/i applied for NI class2 exemption, i havent got any reply yet. if approved, i got no NI payable right?
2/the other only tax i have to pay is the self-employed tax on sales right?
as long as i file it online before 2012 Jan, i will be fine right?
3/is there anyother documents/files/reports i need to file to HMRC?

thank you!

Belinda

 

[belindalat]

just been thinking...

im only using a table in a room in my house, i assume i dont need to pay business rates right?

and i dont think i would sell my business/home, so no CGT right?

and if NI exemption approved,

and NO income tax since for my own salary, but this would be like 500 a month only

only the tax would be self-employed tax right? is this the right name to call it?

thx!

 

[robindunne]

1. Yes, no class 2 to pay on that level of earnings
2. Yes, again, all things being equal you may not have any tax to pay on that level of earnings.
3. If you're not sure about things like this then you should really look at engaging an accountant. I've always managed to more than cover the fees I charge through various measures to drive down tax and improve turnover.

 

[robindunne]

just been thinking...

im only using a table in a room in my house, i assume i dont need to pay business rates right?

and i dont think i would sell my business/home, so no CGT right?

and if NI exemption approved,

and NO income tax since for my own salary, but this would be like 500 a month only

only the tax would be self-employed tax right? is this the right name to call it?

thx!

No CGT on sale of home.

All income is treated the same for income tax purposes - NI is slightly different as there are different thresholds applied for each employment/ self employment.

Have you look at Tax Credits?
Flat rate VAT may also be an option if your clients are VAT registered.

Again, an accountant is needed for all this to get it done right.

 

[belindalat]

thx for your help!

just one more Q, do i need to file everything to HMRC before 2011 Jan or 2012 Jan? thx!!

 

[MyAccountantOnline]

thx for your help!

just one more Q, do i need to file everything to HMRC before 2011 Jan or 2012 Jan? thx!!

Hi

If you commenced trading on 25/9/10 your first tax return will be for the year ended 5/4/11. The deadline date to submit this tax return will be 31/1/12 - but dont leave it until that late, it gives you no time to plan for the tax due etc

Good luck with the new business.

 

[robindunne]

More information on deadlines here:

http://www.rjdassociates.co.uk/deadlines/

 

[belindalat]

More information on deadlines here:

thank you!!

btw, just had a look at your fees. if i pass all the works to you. do i pay only 14.99 a month or both 14.99 a month + 49.99 a yr?

plus im based in manchester. will i ever need to visit your local office?

thx aagin!

 

[belindalat]

Hi

If you commenced trading on 25/9/10 your first tax return will be for the year ended 5/4/11. The deadline date to submit this tax return will be 31/1/12 - but dont leave it until that late, it gives you no time to plan for the tax due etc

Good luck with the new business.

thank you!! that really helps!

 

[robindunne]

thank you!!

btw, just had a look at your fees. if i pass all the works to you. do i pay only 14.99 a month or both 14.99 a month + 49.99 a yr?

plus im based in manchester. will i ever need to visit your local office?

thx aagin!

Just PM'd you.