Invoice / Tax advice
Discussion
Just about to submit an invoice for some freelance work I've been doing whilst I'm job hunting. I was asked to pick up a vehicle owned by the company I was working, drive it from Turin to Seville and offer an 'all in' quote. So I had to estimate my fuel usage etc etc.
Now when it comes to invoicing this, should I just put a grand total for the job, or should I break it down into my fee and my expenses (for which I have receipts) The reason I ask, is that I don't want to get taxed on the whole amount, as about half will be expenses, and the rest my fee.
So firstly is my thinking correct in what I'm allowed to be taxed on, and should I break the invoice down, or can I just declare these expenses when I do my tax return.
Thanks as ever for the good advice on here.
Now when it comes to invoicing this, should I just put a grand total for the job, or should I break it down into my fee and my expenses (for which I have receipts) The reason I ask, is that I don't want to get taxed on the whole amount, as about half will be expenses, and the rest my fee.
So firstly is my thinking correct in what I'm allowed to be taxed on, and should I break the invoice down, or can I just declare these expenses when I do my tax return.
Thanks as ever for the good advice on here.
It sounds like you have undertaken a vehicle delivery service in a self-employed capacity.
Have you notified HMRC that you have had some self-employed income?
Regarding the invoice, you should charge the FULL amount you intend to charge for the job you did.
You will not be taxed on all this amount. When you submit the self employed accounts as part of the self assessment tax return you will be able to offset the expenses ypou incurred in carrying out this activity. You are taxed on the PROFIT from your trade, not on the Gross Income/Sales.
Have you notified HMRC that you have had some self-employed income?
Regarding the invoice, you should charge the FULL amount you intend to charge for the job you did.
You will not be taxed on all this amount. When you submit the self employed accounts as part of the self assessment tax return you will be able to offset the expenses ypou incurred in carrying out this activity. You are taxed on the PROFIT from your trade, not on the Gross Income/Sales.
Eric Mc said:
It sounds like you have undertaken a vehicle delivery service in a self-employed capacity.
Have you notified HMRC that you have had some self-employed income?
Regarding the invoice, you should charge the FULL amount you intend to charge for the job you did.
You will not be taxed on all this amount. When you submit the self employed accounts as part of the self assessment tax return you will be able to offset the expenses ypou incurred in carrying out this activity. You are taxed on the PROFIT from your trade, not on the Gross Income/Sales.
You Sir, are a star! Have you notified HMRC that you have had some self-employed income?
Regarding the invoice, you should charge the FULL amount you intend to charge for the job you did.
You will not be taxed on all this amount. When you submit the self employed accounts as part of the self assessment tax return you will be able to offset the expenses ypou incurred in carrying out this activity. You are taxed on the PROFIT from your trade, not on the Gross Income/Sales.
No I've not informed the HMRC, I'll make that the next thing I do.
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