Closing my business is needed as i have gone from self employed to emploment status.
How do you do this on quickfile as im only 2/3 months into financial year?
Can you end a financial year?
How do you do this with the tax office?
Do you do your own p45 or does the taxman send you one for my new employer?
So many questions but you can get the jist of what i need to do…
Cheers
https://www.gov.uk/stop-being-self-employed
As I understand it the only thing you have to do now is fill in the form telling HMRC you’re no longer self employed so you stop paying class 2 NI, and cancel your vat registration if you were registered.
There’s no P45 involved as you’re not leaving another employed job, but your new employer will get you to fill in a starter checklist to work out your tax code - if you haven’t had any other PAYE income since April then you’ll probably be on the normal 1150L.
You’ll have to fill in a tax return for the 2017-18 tax year but that isn’t until at least next April anyway (as you’ll need the figures on your P60 from your first year in the new job).
Note - I’m not an accountant, this is just what I’ve pieced together from my own experience.
Cheers for that.
Since april i have earnt on both jobs as they overlapped.
BR tax code on the new job for 2 months now. Paying double tax roughly.
When you do the tax year 17-18 - you dont have to do that asap? Just do it april but will have to declare wages from both jobs? Both on quickfile and the return?
Finally - will that mean I will be taxed double till the return is done?
You should only be on BR if you already had another PAYE-taxed job when you started this one. If all your other income in this tax year has been from self employment then you should have ticked box A on the starter list which would put you on 1150L (your self employment is not a “job” as far as HMRC is concerned, it’s a “business”. So “another job” in option C means another job that pays through PAYE, not income from self employment).
You should probably ring HMRC, explain the situation and they will be able to tell your employer the correct tax code to use instead of BR. Once the employer gets the correct tax code they should refund any overpaid tax through the payroll.
You can’t do your 17-18 self assessment until the end of the tax year, as it needs to include details of both your self-employed business and (on a separate page) any income that has already been taxed at source - i.e. your PAYE income from this new job.
Cheers Ian - makes more sence now.
Im the wally as its my fault ticking the wrong box then lol