Tax.

[dingbat]

Just wanted to know, if you are renting a table in a hairdressers and not taking enough to cover the rent do you still have to do your own tax return and declare everything?
Please shed some light on this.
Thanks

 

[gillian w]

Just wanted to know, if you are renting a table in a hairdressers and not taking enough to cover the rent do you still have to do your own tax return and declare everything?
Please shed some light on this.
Thanks

I presume you are asking even if you are not at the moment making a profit do you still have to fill out a tax return form.If thats the case yes you do, you wont have to pay anything but you still have to fill one out with all your details when you have to do this depends on how long you have been registered as self employed if you are not yet registered you must get registered within 3 months of advertising or taking money or you can be fined.There's lots of info on this subject do a search.

 

[eager beaver]

yes, as gillian has said, you are required to fill out a return and declare everything, if if not making a profit at the moment. You have your tax free amount amount per year, so you wont pay tax if you earn under this. you must register yourself asap thou, and the inland revenue willsend you an info pack and stuff too. Goodluck in your biz x

 

[Frooty Moo]

Hi hun
To be honest I'm not an expert on this subject but I've learned the following info over the past few months as I've only been self employed for the last 6.

OK - you need to contact the tax office in your area and advise them that you wish to continue paying your stamp- this should be done within 3 months of you starting yor business, as Gill has already stated.

Did you know, as you are on 'low income' you may be able to claim 'working tax credit'? As this is my 1st year, I am actually running at a loss at the mo. It will take a while longer before I'm in profit so I'm in the process of seeing what benefits/tax credits I can get. The helpline for England, Scotland & Wales is 0845 300 3900. Give them a call, they're quite helpfull. They will send out a form for you to complete.

I went along to an accountant and asked what information I need to supply. I'd entered all of my outgoings, i.e. what I'd spent to set up - stock etc into an Excel spreadsheet and reconciled all of my receipts. Keep all of your receipts hun, even petrol ones. My accountant informed me that what I'd done so far was fine and I was to wait for the tax office to send out a tax return form, then to take it to him - bonus!!

If you Google on 'setting up new business' you'll find loads of info to help and, of course, do a search on this site too!

Hope that helps.

 

[dingbat]

Hi everyone, thanks for the info. Forgot to mention that my husband does my tax once a year for some reason, he was self employed. I do have a part-time job, this is just something I wanted to get started.

 

[joe90]

You must do a tax return even if you are in a loss situation. You can then offset any losses against your employed income. Don't know how you do this but I am sure someone on here will. Alternatively your other half may know.