Change in Employment type; Sole Trader to Directly Employed

10/01/2018 09:27:22

My employment type changed midway through the 2016/17 tax year.

I am now a permanent employee who is directly employed and my tax is deducted from my payslips on a PAYE basis.

Before this, and for the past few years I have worked self employed as a sole trader in the construction industry under the CIS scheme, so my tax was still deducted from my payslips, but at the end of the tax year in my return my business expenses were collated and offset against the tax I had already paid (my earnings were relatively low as it was part time; between £10k-£15k) this usually worked out to a rebate as I had overpaid tax.

With a change in employment type, how do I complete my return for the year? Do I treat being a sole trader as a separate entity, or do I combine the both?

Any advice is appreciated.


  • Catherine Newman
  • Joined: 03/07/2017 14:29:01
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Re:Change in Employment type; Sole Trader to Directly Employed

10/01/2018 09:59:22
You show your business as having ceased in the self-employment pages. Cancel your NI registration by ringing the NI number.

You then put your form P60 Pay and Tax details in the employment pages.