Category: Self-Employed Tax
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How to Create an Invoice as a Self-Employed Person in the UK: What to Include and How to Keep Records
If you are self-employed in the UK, creating invoices is something you will probably need to do regularly, whether you provide professional services, work as a contractor, carry out building work, sell products, or run a small business from home. An invoice is simply a document that tells your customer what you have provided, how…
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HMRC Tax Investigation: What Happens When HMRC Checks Your Tax Return?
HMRC Tax Investigation: What Happens When HMRC Checks Your Tax Return? Receiving a letter from HMRC saying that they want to check your tax return can be worrying, particularly if you are self-employed and your tax return contains a lot of figures, business expenses and other information. However, an HMRC tax investigation does not automatically…
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Self Employed Losses: Can I Claim Tax Relief for a Business Loss?
Running a self-employed business does not always mean making a profit. Some years can be difficult, particularly when you are starting a new business, buying equipment, investing in advertising or simply dealing with a period when your sales are lower than expected. The good news is that a genuine trading loss does not necessarily mean…
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Making Tax Digital Quarterly Reporting
Making Tax Digital (MTD) for Income Tax is now becoming a major change for self-employed people and landlords in the UK. From 6 April 2026, many sole traders and landlords with qualifying income above £50,000 have had to keep digital records and send quarterly updates to HMRC using compatible software. The rules will then gradually…
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Self-Employed: Class 2 and Class 4 national insurance contributions Explained
If you are self-employed in the UK, you may have heard of Class 2 and Class 4 National Insurance contributions and wondered whether you actually have to pay them. National Insurance can be confusing because the rules for self-employed people are different from those for employees, and the rules around Class 2 National Insurance changed…
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Capital Allowances: Claiming Tax Relief on Equipment and Vehicles
If you are self-employed or run a small business in the UK, buying equipment, machinery or a vehicle can be a significant expense. However, the tax system may allow you to claim tax relief on qualifying purchases through capital allowances. Capital allowances can be particularly useful when you invest in items that you expect to…
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Self Assessment Register as a Sole Trader: Step-by-Step Guide
Starting work for yourself in the UK is relatively straightforward, but one of the first things you need to understand is how to register as a sole trader and tell HM Revenue and Customs (HMRC) that you are self-employed. If you are starting a business on your own, you will normally operate as a sole…
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Sole Trader vs Limited Company: Which Is Better for you?
If you are starting a business in the UK, one of the first decisions you will need to make is whether to operate as a sole trader or set up a limited company. Both options can work well, but they are very different when it comes to tax, paperwork, legal responsibility and the way you…
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What Is a CIS300 Form? CIS300 Monthly Return Explained
What Is a CIS300 Form? CIS300 Monthly Return Explained If you are a contractor working in the construction industry and you pay subcontractors, you may have come across the term CIS300 form or CIS300 return. Although the name can sound like another complicated HMRC form, the basic idea is quite simple: the CIS300 is the…
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SA1 Form HMRC: What Is Form SA1 and How to Register for Self Assessment Online?
If you have been told that you need to register for Self Assessment but you are not self-employed, you may have come across the SA1 form. The SA1 form is used by individuals who need to register for Self Assessment with HM Revenue and Customs (HMRC) for reasons other than being self-employed, and in many…