How, and when, to register as self-employed with HMRC. The full details.

[@AccountingTeaBreak]

"That's just straight wrong. Ignore that box, don't tick it. Do take a minute to worry that these are the people who run the tax system for the country... But apart from that just move on."

[@Carla_1234]

that was a supperrrrr helpful video, just about to register as a sole trader. THANK YOU! will now watch all of your vids :)

[@misterbonzoid5623]

Brilliant; just what I needed. Thank you.

[@juliad4914]

This is perfect! I was really confused and going round and round trying to figure out how to register as self employed. With the help of this video I am clear and I am successfully registered, thankyou.

[@GamerZakh]

I just moved to the UK in September 2021 and am a KZbinr, so need to file self assessment for my online earnings but I can't register online for a UTR because to verify identity you need to provide a UK passport. Do you know how non-citizens are supposed to register for self assessment? EDIT: For anyone looking for the answer, what you gotta do is call HMRC which connects you to an adviser, who then fills in your details for you. You just need your personal details, National Insurance Number, and start date for your self employment. They fill in the form and your UTR will come in the mail.

[@Hannah-ef1ws]

so glad i came across your channel!! i've just been going in circles on HMRC website getting more and more confused so thank you! :)

[@1Bob.Sacamano]

excellent information, I just wish that the background music was a bit tuned down as it is distracting

[@memonion4515]

this is great! Clear and to the point

[@Dogfurforever]

This channel is fantastic ! Thank you 🙏

[@Iamusertoo]

You need to understand that you are saving my life.

[@AccountingTeaBreak]

Well I'm going to spend my working day wearing my kid's Superman cape after reading that. Thank you! :-)

[@jameshardy6277]

Excellent explanation. Many Thanks.

[@lexya2160]

Very detailed explaination. Thank you! I tried calling up with no success 😅. Current situation being, helping a friend out for a few months, irregular income but possibly will be over the £1000 threshold. No plans to carry on as a freelancer after this, what’s the best way to go abouts this? Do I need to register as self employed?

[@tetanusforbreakfast3500]

i am confused about one thing: Do i need to register as 'Sole Trader' at all? (Or to start with?) Or just do the self-assesment? I have the HMRC Gateway login (10 digit), and NI codes. I would like to do Freelancing as my main income.

[@classicalbum]

If I complete a SA form for the tax year - April 2023 to April 2024. This form has to be in in January, so do I just provide as estimate for the last three months of the tax year? Or when I do a SA form, do I indicate it's from April to January?

[@misterbonzoid5623]

You do it a year later; otherwise how do you know the figures to enter?

[@aallin1_mtr]

Should a tax agent be registered as self employed?

[@marcuslafferty4728]

Hey please can you shine some light on this scenario... You need to register as self employed in the UK, get a UTR and complete a SA/tax return to pay some tax for the previous year. But you are about to travel around the world for a few years as a nomad, going through different countries, earning money via an online business. If you are not in the UK for a few years, do you still need to complete a SA tax return with HMRC or does it depend on what bank account you use, for where you pay your tax? Let's say one month you're in Australia, then USA, then Asia, where would you pay tax? Should you let HMRC know that you are about to go traveling when registering for a UTR, before completing the SA? Thanks!

[@chloe2109chloe]

Hi can you inform them at the earliest opportunity rather than wait until the following tax year? For example if I started trading as a sole trader on the 15.05.2023 can I inform them today and not next October?

[@tshwarelomabotja4578]

Hi if I’m a taxi driver and work for a taxi firm where we go 50/50 basis do I have to register as sole trader or partnership please thanks

[@patrickmcgeough8690]

Do you have multiple UTR or is it one for everything

[@jam4820]

I’ve heard people having there family members being their accountants is that right?

[@bessyhsn4218]

Thank you

[@ljcross7096]

Like the video - quick question HMRC website instructs to register by October of second tax year from start of S/E, so if I started in June 2022 - do I have to wait until until after 6th April 2023 to register before 5th October 2023 to complete a return by 31 Jan 2024? Many thanks L.

[@33junk48]

Hi, thanks for clearing up as to WHEN i should register for a self-employed. I have question on Income tax for a self-employed sole trader/day trader, is there any difference on matching rule calculation with the CGT calculation? ie: B&B rules, 30days rule, last in first etc.Thx!

[@rinainlondon8]

Ur very clear thank u so much

[@pbk2239]

have started a small business this month , and was about to register but after this i may wait a little bit to see if i make some money . but i have a question . business registration and self assessment, what's the difference . Thanks

[@dalegodwin3738]

Great video - how can i register (or can I) self assessment while im employed

[@AccountingTeaBreak]

Yes, you can register as self-employed while still having a salaried job, being employed. Being on some company's HR system shouldn't have any impact on this, and (as far as I know) there is no reason HMRC would contact your employer about your registering as self employed. The only slight change might be if you do Self Assessments and owe just a little tax you can ask HMRC to change your tax code with your employer to take that tax, rather than simply paying it. For that reason, your employer would get a tax code notice. But that's fairly unlikely, and only happens after being self employed for a while and completing your first Self Assessment. Good luck!

[@bettinanagy5603]

Hi! I am currently employed and I am starting my side job now, for which I wish to register as self employed. Therefore, I have the National Insurance Number as well as the Government Gateway 12 digits user ID already. I have logged in with the Government Gateway, however I am not able to find, where I can register for self assessment after being logged in. Could you please guide me to the right direction?

[@phantomkilz]

Hi, I'm currently employed and started an online business, would I need to apply for utr and self assessment?

[@taherhashemi160]

Hi I earn less than £500 a month do I have to register to hmrc?

[@HaloUppercut]

Hi, Ifbi already work for a company and pay tax etc...and I've just started an eBay side hustle and after a year I making over £1000 profit, do I register for self assessment still? Or am I already registered as i already pay tax through my job?

[@colindabill9083]

How do I become a sole trader ?

[@manuelmelchiorre7536]

I have a trouble to apply for self employed the HRMC asked me UK passaport but I’m not British and I have Italian passaport. How can I do?

[@AccountingTeaBreak]

I'm sorry, I'm not sure I know anything that can help there. There is definitely a way for non-British people to register as Self Employed, so you don't *need* a UK passport. But everyone I've helped has already had a National Insurance number here, so perhaps you should find that or apply for one if possible? With Brexit, I don't know if that has become a difficult thing for Italian citizens, I really hope not. If that doesn't work, I'm afraid it is time to call HMRC, but I hate telling people to do that because it takes forever and is sometimes a big waste of time. I hope you get registered, good luck!

[@djcraigkent]

great video

[@sapphire_moon7551]

Do you have to be on the electoral roll in order to be self employed?

[@AccountingTeaBreak]

I don't think so. I've never seen a client refused for that reason, and I've never noticed HMRC ask that question, so I wouldn't think so.

[@sapphire_moon7551]

@@AccountingTeaBreak thank you

[@coolvibesradio3267]

Hi I have a question. If I started working in march 2020 and my income by the 5 April 2020 is below the £1000 threshold and, as you said, it's not necessary to register but continuing working onwards the income between the 6 April 2020 and the 5 April 2021 is more than £1000 I do have to register but what is the deadline? The 5 October 2020 (because the business started before the 5 April 2020 so it's in the tax year 2019/2020) or the 5 October 2021 (because the earnings over the £1000 are after the 6 april so in the tax year 2020/2021) ??

[@AccountingTeaBreak]

Excellent question, not at all clear from what I said: you are right that you can ignore the whole work done before 5th April 2020; and you can then register by Oct 2021 to tell HMRC about your 6th April 2020 to 5th April 2021 work. The only weird thing is that the Self Assessment will ask you when you started the business and I bet you need to put 6th April 2020 instead of the true date. You'd be acting as if everything you did before 6th April 2020 never happened at all, that's how they want you to interpret it. Cheers, and good luck!

[@coolvibesradio3267]

​@@AccountingTeaBreak thank you for the reply. I've got another shot question independent form the previous one. Do the business start date should be considered the first day you receive a payment or the first day you're setting up the business? Because , for example, I can set up a business today, with several expenses, both capex and opex, but have the first income next month.

[@AccountingTeaBreak]

There won't be too many situations where it matters which of those two you pick. My instinct would be to say the business starts when you start spending money or doing work, but there are exceptions to that rule. If you are starting as self-employed then the earlier you put the start date the more Class 2 NI you'd pay at £3.05 a week, so you'd want to pick the latest date you can. If you are running a company then there are director NI questions that make having an earlier start date sometimes a little beneficial. I'm sure there are other little factors, but as long as you are including all your income and expenditure in some tax return somewhere and paying your tax on it then it won't make much difference the date you call it.

[@mat-fq7yo]

I am going self-employed at the start of the new tax year selling on eBay, i was just wondering do you think i should get an accountant or could i file my tax return on my own??

[@AccountingTeaBreak]

I think people should usually at least *try* to file their own Self Assessment (SA, the tax return). If you get too busy or too confused or you earn loads of money (when small mistakes have big tax consequences) then you can always step back and ask for help. You have almost 10 months from the end of tax year in which you are first self employed to do your return, so give it a go in the first month or two (april-may 2022 for you) and see how confident you feel. Also, accountants can submit amended tax returns for you for 12 months, so even if you try yourself and then later realise you did bad, you have another year for an accountant to help you correct it. Good luck!

[@roxanapalazuelo1341]

Hi, i am to start this week selling on ebay, i dont do it yet, but i think because i have Universal credit and they ask me to look for work or be self empolyed like mu husband, i need to register anyway as selfemployed even if a don't star selling , is that right? or i need to wait after april?

[@AccountingTeaBreak]

A good question, and I don't know the answer in your situation; but if they want you to show that you are self employed for your UC claim then yes, that would be a reason to register *now* instead of waiting until April. It won't cost you any more tax registering early, except possibly the weekly Class 2 National Insurance which is £3.05 a week. So if you register 12 weeks earlier than you would have you will spend about £37 more in tax. All the other tax is based on your profit, which won't change just because you registered early. It might mean doing one extra self assessment return, but that just means learning a thing you need to learn one year early. Good luck!

[@roxanapalazuelo1341]

@@AccountingTeaBreak many thanks! i try to learn now i doing the tax return for my husband , and if i can i have another question= my husband was working on a factory and at the same time doing sells on ebay like selfemployed, litle profit of 524, but in employment make 1666.44 and pay tax for 831.2, the question is = he pay enought tax? i put i want to pay class 2 voluntary cont. and the calculation was i need to pay 264, but i don't really know if this is only pension i will pay, if this that case we are on 48 years so no time for 30 years pension contribution, it worht is we pay this 264? or maybe is better pay it for the propose of have the universal credit? maybe is compulsory?, and the second question, hoe i can know this 264 is only for the selfemployed tax or is part on the employment maybe he don't pay enought in the payroll? how much is for a years?

[@AccountingTeaBreak]

@@roxanapalazuelo1341 Hi Roxana! There are some things I can't answer in that comment: your situation is a bit too complicated for any definite answers here. But I can give you some information that might help. Class 2 National Insurance is £3.05 a week at the moment, and was £3.00 a week in 2019-20. So if you are registered as self employed for the whole year and pay voluntary class 2 NI, that is about £156. And if the factory job is properly employed (with payslips and tax taken off for PAYE) instead of self employment, then the factory work will have National Insurance taken off already and won't count towards the class 2 NI calculation. And finally, at the very end of the tax return, before you submit it, you should be able to see a detailed calculation of where the £264 tax bill comes from. It might not be easy to understand (the calculations can be complicated) but it should show you how they reached £264 and you will see if any of the numbers they are using look wrong to you.

[@roxanapalazuelo1341]

@@AccountingTeaBreak Many thanks!! very helpful information, thanks for you time, regards

[@roxanapalazuelo1341]

@@AccountingTeaBreak sorry one more question on a tax return for my husband i need to put income from Universal credit and for child benefit? normal child benefit no high, because in section Income says "any anothe state benefit received"

[@Charlies247]

What if you work for yourself part time and earn less than 6k in a financial year .

[@AccountingTeaBreak]

I believe you do still have to register, even though your tax bill will probably be £0. If I were you I would register as self-employed and get your Unique Taxpayer Reference, then when you finish a year where you earned under £6k, call HMRC and explain and ask if you really need to bother doing a self assessment at all or if they can just take your income figure over the phone. Might save you an hour or two of your life filling in online forms (though there's a good chance they will still insist you complete the self assessment, and HMRC phone call hold times can be pretty terrible at the moment!) Good luck!

[@rus1616]

@@AccountingTeaBreak This was the answer I been looking for. Thank you so much, you've provided all the info I needed to know. :)