Quick question about tax pls

[AssignedSlytherinAtBirth]

Hi, DH is employed FT and so his employer deals with his tax. Now a friend has asked to employ him as a consultant for ten days or so. He will take annual leave to do it, and could charge around £1500 to £2k. How does he declare it? Would he have to inform his employer so they could include it in his tax return? TIA

No, his employer cannot include information about money your husband receives elsewhere on anything they sent to HMRC. He needs to register for self assessment and complete a tax return.

It's not much money for 10 days' work, and it's a large chunk of your DH's annual leave.

Thank you @prh47bridge . I'll tell him.

He deffo wants to do the 'right' thing. His friend will declare it through his books so DH wants it all to tie in.

@KirstenBlest he will enjoy this a lot more than gardening at home, or sitting on a beach with me! (He's done it before for friend and didn't even charge expenses!)

he would need to check his contract to see if he is legally able to do this, some contracts will have a restriction on work outside their job - also conflict of interest, and lastly - when you take annual leave you are probably meant to be resting (to a degree, not doing another job)

(clumsily worded, but hopefully you know what I mean)

He needs to check his contract to see if he can have a second job or needs to seek permission for that.

obviously some people take leave to decorate etc

I think you can earn £1000 as a side line with no need to pay tax.

He needs to register as self-employed at HMRC and then next year do a self-assessment. It's pretty straight forward, he'll just need his P60 from his employer, remind him to keep a record of any expenses, including mileage

It's called the £1000 trading allowance if you want to Google it.

As previously stated he will have to check his employment contract first
Then he will need to discuss with the friend how he will be paid for the work - is it a contract for example, is it outside IR35 (probably with a small co exemption)
He will then have to fill in a SE tax return and declare his earnings and pay any tax due

www.gov.uk/guidance/tax-free-allowances-on-property-and-trading-income

You can get up to £1,000 each tax year in tax-free allowances for property or trading income from 6 April 2017. If you have both types of income, you’ll get a £1,000 allowance for each.

If your annual gross property income is £1,000 or less, from one or more property businesses you will not have to tell HMRC or declare this income on a tax return. You may be required to complete a tax return for other income.
If your annual gross trading income is £1,000 or less, from one or more trades you may not have to tell HMRC, however there are circumstances when you must register for Self Assessment and declare your income on a tax return.