Do You Side Hustle?

If you receive income above £1,000 from any side hustles, then you need to notify HMRC of this before they find you and drop you a line. 

We will all have different reasons why we decide to start up something new to bring us in some extra pennies. Maybe to save towards a holiday, a weekend away, or for that next car or house move. When self-employed earnings rise above the trading allowance they must be declared to HMRC.

The trading allowance is an amount of up to £1,000 per tax year which you can use against any gross income made from self-employment, casual or miscellaneous sources (such as babysitting or selling goods through a website).

Starting a side line can go one of two ways. It will either bomb out and come to nothing, or it will grow wings and fly. The latter is the one that can catch you out. With payments made and received online including electronic bank transfers, there is a digital footprint on your earnings. Keeping a record of your extra earnings and being aware of the £1,000 trading allowance limit, will help you avoid getting into trouble. If you do get a letter from HMRC, the worst thing you can do is ignore it. If you are unsure on how to proceed then you might want to give me a call for some help.

I can advise you on what you need to do next and work with you to get the issue resolved swiftly. I can also set you on the right track so you avoid any further scary HMRC letters.