Averaging for creators of literary or artistic works

I am a writer and in previous years have done my SA tax return online. However, I can't see any option on the self employed pages for this year's return to take advantage of authors averaging, having sold my first novel last year. Is this possible to set up online? Or will I have to send a paper return?

Hi,

You need to complete the full self employment page, you will probably need to select the turnover over £86,000 for this. For this to appear and look for the box.   

Averaging adjustment, only for farmers, market gardeners and creators of literary or artistic works.

Thank you.

Many thanks for your reply. I am not currently subject to VAT. However, having done as you suggest above it asks for more detailed expenses on the basis I am subject to VAT (due to selecting the turnover being over £86k, even though when I input my turnover it is around £25k). I just want to check, in the final calculation of my self employment income, HMRC/Self-Assessment will not subject me to VAT will it?

Hi,

Self Assessment does not calculate VAT. It is only responsible for calculating Income Tax, Capital Gains Tax, student loan repayment and class 2 and class 4 National Insurance contributions where appropriate.

Thank you.

Thank you. I just want to be sure that selecting the turnover over 86000 to do the averaging won’t result in HMRC chasing me for VAT in some way even though I’m not liable for it?

Hi
No.  There is nothing to worry about in that respect.  The self assessment and partnership pages are divided into the short version and the full version.  There are some circumstances that require the completion of the full version, as the required boxes are not found on the short version.