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Posted Mon, 19 Aug 2024 12:26:44 GMT by Kat Hodson
I have 2 jobs, a full time job working for an employer and a 2nd job working for a charitable organization. In the second job, I work from home with flexible hours and undertake customer account duties for variable hours per month (between 20-80 depending on the work needed). I invoice the charitable organization each month for an agreed hourly rate of pay. I have to file my own taxes for the second job and want to know what the best way to do this is. Would it be better to complete a self assessment or to set up as a sole trader? Do I pay VAT as a sole trader? Given that the organization I work for has charitable status, do I have exemption etc? My annual earnings with both jobs combined would keep me in the normal rate of tax and not high earner. Any advice would be appreciated. Thanks!
Posted Mon, 19 Aug 2024 14:38:04 GMT by Clive Smaldon
Not HMRC..."2nd job" is self employment...need to register as self employed and register for self assessment (done with one form CWF1 online). No VAT registration unless turnover (self employment ONLY, not including job) more than £90k
Posted Mon, 19 Aug 2024 15:56:24 GMT by Kat Hodson
I know I can fill out at self assessment with form CWF1, however, would it be better to self assess with sole trader status - would there be any advantages/disadvantages of doing it this way rather than the more straightforward route of CWF1.
Posted Tue, 20 Aug 2024 08:08:29 GMT by Clive Smaldon
One doesnt replace the other...both are necessary, a sole trader (self employed) must complete CWF1 first and then complete a self assessment return.
Posted Wed, 21 Aug 2024 15:19:15 GMT by HMRC Admin 10 Response
Hi
Please look at this information Register as a sole trader

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