Any accountants/Anyone who knows about self employed.....

[swiperfox]

I am trying to figure out dp's wages for our tax credit renewal. His 'payslips' are just a computer printout and every now and then there is a headed paper stapled to the front saying 'NIL COMMISSION' - THE TAX SHOWN ON THIS INVOICE IS YOUR OUTPUT TAX DUE TO hm CUSTOMS AND EXCISE.

There is no tax shown on the payslip though, just nett value vat value and amount due.

What does all that mean??!

Swiperfox

I guess that you mean dh is self-employed, hence he does not pay PAYE. If he is paid gross, he needs to declare his earnings on a tax return, and it would make most sense to work that out first.

The VAT aspect is intruiging, is your dh VAT registered. If not, then the VAT is meaningless anyway.

I do this for us, and for some business clients. Email eas_1511 at hotmail dot com if you want to have my phone number, and I'll talk to you about what you need to do.

Thanks easy, I might just do that. I'm way over my head with it!! His work told him he doesn't need to declare because he's in his first year and hasn't made over a certain amount - I'm not convinced though!

Swiper, If he is self-employed then the Inland Revenue need to be informed. Whether his earnings exceed the tax limit is another matter, but he needs to declare his earnings, even if no tax is due.

Was he self employed before April this year?

I'll check my hotmail for your message.

the HM Customs and excise is to do with VAT, ie if he is VAT registered it's telling him to pay the vat amount to HM C&E.

Dh just registered with IR, you have to register within 3 months or you face a £1k fine (I think it is £1k). certainly it's compulsory. He doesn't have to pay anything because his annual income is under the limit (around £4k, it's his hobby he has a full time job too). But he does have to fill in a form to advise them of this, arrived yesterday.

VAt / output tax thing- yes- only relevant if registered with VAT at customs and Excise. (used to work there- snore!!).

If he registers with IR he can do it over the phone today, and they will send him on soecial self employed dinfo days if he wants.

Swiper, I've emailed you.