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Question about self-employment and PAYE

2 replies

ZebraZeebra · 29/05/2014 09:05

Much appreciated if anyone would mind just answering my very simple question :)

I'm freelance but have earned very little - like £700 so far. This isn't my business going down the pan, but just that I'm full time carer for our DS and I'm only really doing freelance work here and there to keep my hand in.

I recently got a four month contract from my old work and I'll earn about 5k. They are paying me through a temp agency who will do PAYE on my weekly earnings.

Between the two I'm still way below the threshold for paying tax - so do I then submit at tax rebate after the next tax year has ended or will the tax office calculate and re-pay me without me having to do anything?

Thanks in advance!

OP posts:
AuditAngel · 29/05/2014 22:26

When you finish this contract, they should issue a P45 showing the tax deducted. If you take another contract under PAYE, give them the P45 and they will use your personal allowance based on your tax code, and being later in the year you may get the tax rebated back via PAYE. if not, complete a tax return and enter the tax paid under the employment pages.

ZebraZeebra · 01/06/2014 09:48

Thanks - much appreciated. It seems so complicated, all this over-paying, and taking it back but it's good to know what to do.

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