Going self employed but also due tax rebate-timings?

[8dpwoah]

I will be made redundant at the end of next month and also receiving SMP in a lump sum in my final pay. So I'll be due a tax rebate for this year, I think, as will be on maternity leave (but not leave as there's no job to be on leave from, if you see what I mean).

However I will also need to register as self-employed as at some point before the end of the tax year I will go over the £1000 limit, thanks to the advice from the Earn £10 A Day thread!

Is this timeline right, NOT to avoid tax (I know it will all work out right in time anyway) but to avoid hassle?! Long story short in an ideal world I'd get the rebate as soon as possible then worry about the self-employed tax later, but I'm more worried about not accidentally committing some sort of tax sin. I'm happy to pay an accountant for one off advice if that's a thing but I don't think I'll be doing enough to warrant a long term relationship, I will only be self-employed while I'm on leave, and earning a minimal amount. Hopefully the aforementioned £10 a day but certainly no more than that. I'll look into NI contributions once I'm set up for tax, although I do get child benefit in my name at the moment.

Get P45/last pay.
Wait 4 weeks.
Claim to HMRC and receive rebate for tax paid on salary and SMP.
Register as self-employed (I'm not sure when I need to do this in terms of self-assessment for this current tax year?)

Well done if you got to the end of that!

I got made redundant and worked part time at home. I was told I could earn around £450 per month without having to register as self employed so no tax or NI to pay. Regarding getting tax back, you can fill in a form online.

I'm almost certain it's £1000 in a tax year before you have to register as self-employed now, I got that far through the guidance.... I think 😂

I've got the rebate form ready to fill in when I get the figures from my P45, it was more about whether I would be ok claiming the rebate from my part year of working (and the SMP) THEN register as self-employed or if that would be a problem, maybe I would need to do the two at the same time, or do the self employed bit first?

If I recall correctly, ideally you should register as self employed as soon as you become self employed but the actual deadline is sometime (I can't remember exactly how long - a couple of months maybe) after the end of the tax year in which you became self employed.

So if you become self employed now, ideally you would register straight away but I think the deadline is probably after 6 April 2022. Your tax return for 2021/22 is due in January 2023 (if you file on line). To file online you need to register for that separately from registering as self employed. Do not leave this to the last minute as it takes time to get set up!

Oh wow that's really good news @terrywynne , I didn't realise I wouldn't have to file a return for this coming April!

So my timescale of, sort my rebate out as soon as I can then get registered self-employed as soon as I can after that is likely to flow ok- I did wonder about contacting HMRC and doing it all at the same time but with it being different forms and possibly different departments it would possibly be better to do them in sequence rather than all at once. I suppose it must be increasingly common for people to get P45, process that as needed and then set out on their own at the moment.

Totally open to being told no, you'd be better to do X/Y/Z instead though, as I say my main concerns are keeping it simple and not accidentally doing something naughty. Got to love PAYE for shielding me from this since I was 16 😂