Business Registration question, again!! sorry!

[carolandjessica]

I've tried completing the online self-assessment form today but came unstuck regarding my employment status. I currently have a full-time job with a big company so I am an employee, but I make stuff to sell and want to register as a business which would then make me an employer. So in one hand I'm employed and the other I'm self-employed so the HMRC tax form then gets pretty complicated, for me anyway! I'm stuck on the first page, About you, Personal Information, Are you working for one person or firm only? It's just a Yes or No answer. I'm torn between the two here. Should the answer reflect what I'm currently doing or what I want to do ( make stuff/self-employed ). There is a piece written about having more than one job but it's still left up to me to decide which option I come under. I seem to belong to both!
Is there anyone else on here with a similar problem? There must be others who work during the day and sell on eBid as part-time/hobby/business in the evening. How did you get round this when registering as a business? I even phoned them this afternoon but they just kept me hanging on in a queue for 20mins or so. I gave up! I even followed the link through to the ESI ( Employment Status Indicator ) but that crashed 3 times!
Could anyone help please!

[lakeleilani]

Have you actually registered as self-employed and started your business? In which case, tell them about both jobs. If self-employment is something that you haven't officially started at yet, just tell them about your full-time job and let them know about self-employment when you actually start.

[carolandjessica]

Have you actually registered as self-employed and started your business? In which case, tell them about both jobs. If self-employment is something that you haven't officially started at yet, just tell them about your full-time job and let them know about self-employment when you actually start.

I'm actually trying to do that now which is why I need to fill out this self-assessment form, I started the business 22 Oct and have to declare it starting within 3mths. There's nowhere on the form that I can see to tell them about a 2nd job. Maybe it's just me being stupid but don't want to mess up the form as it's all my tax info that suffers if I give the wrong details. I've got nobody to help me with it either to make sure I'm doing it right.

[zaranvalesasterix]

So did you start the business in Oct 2013? and are you filing the tax return to April 2013?

[carolandjessica]

So did you start the business in Oct 2013? and are you filing the tax return to April 2013?

Yes, it's Oct this year so it would be for this year's tax return I assume. I recently asked the question on here about what time of year is it best to register but it doesn't matter it seems.
After reading up about the registration process, the first thing I have to do is fill out a self-assessment form. I'm already stuck on first base...lol

[HerMajesty]

It might depend on how you are set up. Are you going to employ yourself and pay yourself a set salary, and pay in employer taxes? Are you just the owner of the business and maybe you will take draws after any expenses? You might want to check with an accountant to see what the best set up would be.....Limited Liability Company, Corporation, or something else. Until you know what you are, it will be difficult to decide what to do. (This is just my guess.....I don't know lots about UK taxes)

[lakeleilani]

It might depend on how you are set up. Are you going to employ yourself and pay yourself a set salary, and pay in employer taxes? Are you just the owner of the business and maybe you will take draws after any expenses? You might want to check with an accountant to see what the best set up would be.....Limited Liability Company, Corporation, or something else. Until you know what you are, it will be difficult to decide what to do. (This is just my guess.....I don't know lots about UK taxes)

You will be classed as a sole trader. Have you had a look on the BusinessLink website? There might be something on there about how to approach things if you are both a sole trader and employed by a company. It's usually quite helpful.

[carolandjessica]

It might depend on how you are set up. Are you going to employ yourself and pay yourself a set salary, and pay in employer taxes? Are you just the owner of the business and maybe you will take draws after any expenses? You might want to check with an accountant to see what the best set up would be.....Limited Liability Company, Corporation, or something else. Until you know what you are, it will be difficult to decide what to do. (This is just my guess.....I don't know lots about UK taxes)

I wasn't planning on paying myself any wages or anything like that. All I want to do is register as a business to sell my handmade items as don't want to get in trouble with the tax man. I thought it was going to be so easy! I will have to pay tax on any profit I make, I realise that. I just want to be legal! There are so many business sellers on here that I just thought another seller might have a daytime job, like me, and I wondered how they were able to register as it doesn't seem to be as easy as I thought!

[carolandjessica]

You will be classed as a sole trader. Have you had a look on the BusinessLink website? There might be something on there about how to approach things if you are both a sole trader and employed by a company. It's usually quite helpful.

Thank you. I will take a look at that site.

[westlondoncarparts]

Generally, the tax people want to know about new business start ups so that they can ensure that self employed business owners make interim payments of tax as appropriate due during the course of a tax year. Notifying them of a business start up is a different type of action to completing self assessment forms which are relevant only after your business has been trading. If you have only recently started your business, there will not be any tax due yet so no need to start worrying if you are having problems finding your way around their forms.

When it comes to completing forms online for your tax assessment, you will need to complete separate forms for each paid employment that you have (working for an employer) and also to complete separate forms for each business that you run as a self employed person.

Somewhere at the beginning of the online form completion process, the tax office system should give you the option of saying how many paid employments you have and how many self employments you have, and the system will then generate additional online forms for you to complete as are needed.

If you cannot get the online forms working correctly for you, please read the relevant guidance notes on the HMRC website which should explain everything for you.

http://www.hmrc.gov.uk/selfemployed/