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Taxed twice?

20/03/2017 11:02:07
I work for a company and earn £15,000 a year.

I'm thinking about becoming a rep for a cosmetic company in my spare time, the've said i'll need to do it self-employed. Will I be getting taxed twice?

If I go self-employed where do I register? And do I have to tell my work?
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Taxed twice?

20/03/2017 11:47:50
HI Shawn, thanks for your question.

If you are employed and self employed both incomes are taxable. Your employer will take tax under paye from your wages. You will pay any tax on your self employed profits through the self assessment system.

You can register here, https://www.gov.uk/new-business-register-for-tax

You don't need to tell your employer for tax purposes as they are treated completely differently.

Something that you might find really useful are our e learning and webinars for the self employed take a look and come back to me if you have any questions.

https://www.gov.uk/government/news/webinars-emails-and-videos-if-youre-self-employed

regards
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Taxed twice?

20/03/2017 14:38:10
Thank you for explaining this so clearly for me, I'll have a look this evening but might make use of your webinars if I have any trouble.
Thanks.
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Re:Taxed twice?

29/03/2017 08:37:13
Hi, this is my first post, so please forgive if it is not the right place.

I have self-published some books so am earning very small royalties on the sales. I read on the HMRC site that I must register as self-employed, and sole trader, which I have done, and have registered for on-line self-assessment. My questions are:

1) Will I receive two tax forms to fill in, one personal, one as the sole trader? Or will it be just one? So will I be taxed twice?
2) I currently take a private occupational pension, which is taxed at source. In April 2017, I reach Statutory Retirement Age (65) so will start receiving both a second occupational pension and the state pension. How will these be taxed? That is, will I be taxed three times!?
3) I currently am not receiving the telephone access code, so cannot access my account on-line. So when will I receive a notification of the time to fill in my online self assessment form(s), or do I have to go on-line myself and download them? If I cannot do this, how do I get started on my tax return(s)?

As you can tell, I am a real amateur about all this. So sorry if I need to spread these queries around the forum!
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Taxed twice?

29/03/2017 12:52:11
Something that wasnt mentioned in the reply but is really important is that when you're employed and self employed then you MUST include your employment income on the Self Assessment return. Many people dont think you do because they assume they'll be taxed twice on it but theres also a field on the return for the tax paid which is then taken into account in the calculation.

eg
You earn £15k in your job and £5k self employed. youve paid £1k tax in your PAYE employment.
Your taxable income is therefore £20k
and tax should be calculated on that so it would be approx £2k
however youve already paid £1k through PAYE therefore you owe £1k

If you dont put down the employment income on the form then it would calculate tax on £5k - Personal allowance say you owe nothing and then 6 months later you'll get a bill from HMRC and probably a penalty....not good
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Taxed twice?

29/03/2017 15:14:53
ToffeeApple - thanks for sharing this, appreciated,
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Re:Taxed twice?

04/04/2017 14:57:09
Hi Scaramouche,
I'm not sure if you're aware we sent you a private message on 29/3/17 about your post. Could you please check and respond. Thanks.