have started doing avon and it is a 2nd job i am just currently below taxable amount this year and so know i need to pay 10% and national insurance how do i sort this out? in the UK
2006-10-31 00:20:13 · 5 answers · asked by Anonymous in Business & Finance ➔ Taxes ➔ United Kingdom
Contact the DWP - Department of Works and pensions to pay your NI stamp and the Inland revenue to pay your income tax. Remember to keep accounts and claim for everything - you can and you probably won't have to pay the 10% tax rate. get a nice tax inspector/officer to help and tell you all the things you can claim for. Keep good accounts and claim for petrol and anything you use as part of your spare time business. Ask about capital allowances when you ring the tax people - can't think what you may be able to claim for - that is usually for equipment that you use. You may be able to claim for your computer if you use it for accounts.....
2006-10-31 00:35:59 · answer #1 · answered by Mike10613 6 · 0⤊ 0⤋
National Insurance is payable on every job that you have, however you have a full allowance for each job, so if you earn under £94.00 per week with your second job you shouldn't pay any NI. As far as tax goes, if you are earning a normal wage for your first job (say 15,000 per year) and you have this second job, your tax allowance will have been used in your main job, and so your Avon job will need to be taxed at 22%. You only have one tax allowance regardless of how many jobs you have - you need to add up all the income and work out your tax from that. So if you earn over 598.75 per month or 138.17 per week BEFORE tax and NI in your main job, you will need to deduct tax at 22% for your second job.
2006-11-01 05:58:54 · answer #2 · answered by adamsgi 2 · 0⤊ 0⤋
I was in exactly the same position as you are. I got in touch with the Inland Revenue and they sent me a Self Evaluation form (which was about 600 pages thick!!!). I am not the best person where forms are concerned and consequently made a right mess of it! I ended up paying a load more than I needed to, because I didn't think I was able to claim for a lot of things I was spending money on. The following year, they very kindly gave it me back with interest! The year after that, I employed a Financial chappy who did my forms for me. I provided him with my salary slips and end of year tax form (P60) from my regular job, and all my invoices for my second job + everything I'd spent connected to both jobs. He collated it all, filled in the forms on-line and saved me an absolute fortune. He charged £120 (a one off payment each year, whatever the amount of paperwork he needed to do) and he was worth every penny. He knew every single thing I could claim against, including things I would never have thought of.
I would suggest that you contact the Inland Revenue in your area and arrange to have a face to face meeting, taking whatever paperwork you have. That way, they will be able to give you better advice on what your best option is.
Be prepared to pay a weird amount of tax 'up-front' for the following year. It came as a surprise to me! And if, like me, you will probably have a fluctuating income from your second job, your tax will never be the same!!! Believe me, it's much better to have an accountant. Mine was truly worth his weight in £p!!!!
2006-11-01 02:32:30 · answer #3 · answered by Val G 5 · 0⤊ 0⤋
Hello,
As far as I am aware, you do not need to pay 10% NIC's for having a second job, if you need to pay NIC's then the company will have taken them out of your Gross Pay.
You should tell your second employer that you have a another job, you will be taxed 22% on your income from your second job. The HM Revenue and Customs website states that any income from any secondary jobs will be taxed at 22%.
If the amount you earn on your second job is below £97.00 if being paid weekly, or £420.00 if being paid monthly; then you can get the income from the second job tax free.
You need to call HM Revenue and Customs and ask them to split your personal allowance. This will then mean that the income from your second job is tax free, and that the personal allowance on your main job is reduced. If you already exceed your personal allowance on your main job then you may as well do this.
See this webpage for more information on splitting your personal allowance:
http://www.hmrc.gov.uk/students/two_pt_jobs_pa_on_both_9_3.htm
Thanks
2006-10-31 08:33:43 · answer #4 · answered by Scott 2 · 0⤊ 0⤋
Contact your local tax office. Their number should be in the phone book and they probably have drop-in sessions if you'd rather speak face to face.
Alternatively, I'm sure any forms are available on line at direct gov website.
2006-10-31 00:30:27 · answer #5 · answered by Anonymous · 0⤊ 0⤋