Earning outside of normal employment – Tax
Earning outside of normal employment – Tax
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Discussion

Rude-boy

Original Poster:

22,227 posts

261 months

Friday 20th May 2011
quotequote all
Okay so I have always been PAYE but am about to do a job in a few weeks which will be outside of my normal employment for a 3rd Party (with the consent of my employer smile ).

The figure I have agreed with the 3rd Party represents a per day payment and a contribution of £200 towards my travel expenses (which incidently will be higher than that sum but as I was going to the place of work anyway and for me the job is more about the experience than the money I’m not losing sleep over that.

What I am concerned about though is how I deal with this come the time for my 11/12 tax return so that I put enough on one side to pay the slice that HMRC will lovingly relieve me of and possibly to know in advance how I should show this in my return.

ALSO so far as NI goes could someone please confirm that I am right in thinking that as I don’t expect to do any other foreigners in this tax year and that the payment I receive from this will be less than the minimum per employment per year I don’t have to worry about that?

Any advice or hinters welcome!

Eric Mc

125,357 posts

293 months

Friday 20th May 2011
quotequote all
The key is whether you are being engaged as a "sole-trader (sometimes referred to as "self-employed") or as a part time employee?

Rude-boy

Original Poster:

22,227 posts

261 months

Friday 20th May 2011
quotequote all
Thanks Eric,

Not sure is going to have to be the answer but I am 99% that it will be as Sole Trader rather than as an employee.

Eric Mc

125,357 posts

293 months

Friday 20th May 2011
quotequote all
On what grounds will you consider that the relationship is NOT employer/employee?

Will you be touting for other business?

Will you be doing something he normally uses employees for?

Will you be carrying the can for rectification of work if needs be?

Will you be taking out any sort of insurances?

How close will his supervision of the work be?

Can you use someone else in your place if you are not available without having to refer to the "employer"?

Will you be using your own tools and equipment in carrying out the tasks involved in this work?

Rude-boy

Original Poster:

22,227 posts

261 months

Friday 20th May 2011
quotequote all
Thanks again for your time Eric.

I hope you don't mind but I have PM'd you the answers as to respond fully I need to disclose information which I am not happy to do on the Forum.


Cheers,

John