Two self employment incomes


S

Sandy

I declared myself as self employed as I was doing mystery shopping which
I do on an occasional basis. I've also now have an income writing small
pieces of computer software.

When I fill out my SA can I merge all the income, losses, etc. from both
jobs or would I need to fill out two forms?
 
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M

Mark Goodge

I declared myself as self employed as I was doing mystery shopping which
I do on an occasional basis. I've also now have an income writing small
pieces of computer software.

When I fill out my SA can I merge all the income, losses, etc. from both
jobs or would I need to fill out two forms?
You can only have one self-employed job, as you only have one self to be
employed by. The fact that your self does work for a number of different
clients doing widely varying things doesn't change the fact that, as far as
HMRC is concerned, it's one job.

So the answer is yes, it all goes on one form and all income/expenditure
from all sources needs to be accounted for at the same time.

Mark
 
R

Robin

You can only have one self-employed job, as you only have one self to
be employed by. The fact that your self does work for a number of
different clients doing widely varying things doesn't change the fact
that, as far as HMRC is concerned, it's one job.
Ummm - I don't think that computes in the sense "self-employment" is
used for tax purposes. You can have many different trades and
professions. Eg a self-employed dentist could also be an author; a
self-employed bricklayer could also be a partner in a hairdressing
salon.
So the answer is yes, it all goes on one form and all
income/expenditure from all sources needs to be accounted for at the
same time.
HMRC advise otherwise. See the SA Helpsheet 220 "More than one
business" http://www.hmrc.gov.uk/helpsheets/hs220.pdf That tries to
make it clear.

"Sole traders

You must complete a set of Self-employment (full) pages

.. for each business you are involved in

.. for each account that relates wholly or in part to your basis period
for 2010 -11. Read the Self-employment (full) notes"

It is necessary to keep the trades separate else the sums just don't
work on commencement and cessation (which can happen separately). And
then there are the special rules for some trades.
 
H

Harrison Hill

Ummm - I don't think that computes in the sense "self-employment" is
used for tax purposes.  You can have many different trades and
professions.  Eg a self-employed dentist could also be an author; a
self-employed bricklayer could also be a partner in a hairdressing
salon.


HMRC advise otherwise.  See the SA Helpsheet 220 "More than one
business"  http://www.hmrc.gov.uk/helpsheets/hs220.pdf That tries to
make it clear.

"Sole traders

You must complete a set of Self-employment (full) pages

. for each business you are involved in

. for each account that relates wholly or in part to your basis period
for 2010 -11. Read the Self-employment (full) notes"

It is necessary to keep the trades separate else the sums just don't
work on commencement and cessation (which can happen separately).  And
then there are the special rules for some trades.
Well exactly, and the separate trades are just that. They require
separate sets of accounts, with separate and appropriate
apportionments of (eg) Use of Home as Office, Telephone and all the
rest. Losses in one trade cannot be set against profits in another.
 
M

Mark Goodge

Well exactly, and the separate trades are just that. They require
separate sets of accounts, with separate and appropriate
apportionments of (eg) Use of Home as Office, Telephone and all the
rest. Losses in one trade cannot be set against profits in another.
What if your trade is "odd job man"?

Mark
 
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R

Robin

I really thank you for that, and the rules have changed since I last
thought I understood them. Does "general income" include "rental
income" do you think?
Oh yes, yes...[imagine annoying nodding dog if you wish].
 
R

Robin

That annoying dog would be shaking his head (unless it's a loss from
furnished holiday lets).
http://www.hmrc.gov.uk/manuals/pimmanual/PIM4205.htm
The question was

'Does "general income" include "rental income" do you think?'

Is it possible that you misread it as asking whether *losses* from a
property letting business could be set against general income? If not,
could you please point me to what excludes property income from "general
income"?
 
M

Martin

Robin said:
The question was

'Does "general income" include "rental income" do you think?'

Is it possible that you misread it as asking whether *losses* from a
property letting business could be set against general income?
Spot on. I'll fetch my coat and head for the nearest street party.
 
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R

Robin

Spot on. I'll fetch my coat and head for the nearest street party.

A very generous (and increasingly rare on Usenet) admission.

That said, I am still waiting for my sticky bun :<((
 
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Joined
Sep 1, 2011
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I would definitely keep the accounting records from the two trades separate especially if one is making a loss. That way, you have more flexibility in how those losses are being relieved especially in the first four years of the trade.
 

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