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Posted Mon, 21 Aug 2023 22:20:28 GMT by Slava
Hello, Last year, I relocated to the UK and subsequently began providing IT services remotely for my sole client, who is registered outside the UK and my home country. While I have been registered as self-employed in my home country for a long time, I am now in the process of registering as a self-employed sole trader in the UK and then will fill in my self-assessment tax return for 22/23. As I proceed with my self-assessment form, I've come across a question that reads, 'Are you working for one person or firm only?' I find myself uncertain about how to respond to this question and how it might impact my self-assessment registration. Currently, I indeed have a single client, however, I might potentially change this arrangement or have additional contract with another client in the future. I would appreciate your guidance on whether answering 'Yes' to this question could have any implications on self assessment? Moreover, does working remotely for a single client registered outside of the UK have any impact, or is it entirely unaffected in this scenario? Thank you for your assistance. Kind regards, Slava
Posted Thu, 24 Aug 2023 15:39:42 GMT by HMRC Admin 25 Response
Hi Slava,
It will only be 1 as you are technally working for yourself.
If it is your client who is outside the UK but you are in the UK you will just include the income as part of your self-employment.
Thank you. 
 
Posted Thu, 24 Aug 2023 18:28:59 GMT by Slava
Hello, Thank you for your response. I just would like to confirm that if I answer 'Yes' to the mentioned question, it won't result in my sole trader registration being declined or lead to additional inquiries seeking clarification on my work for my single client outside of the UK. I am concerned about this because my understanding is that a sole trader is typically perceived to have multiple clients. But probably it is less strict in case client is outside of the UK. Thank you.
Posted Thu, 31 Aug 2023 06:16:52 GMT by HMRC Admin 25 Response
Hi Slava,
A sole trader is not limited to having just one client or multiple clients.
Self Assessment and being a sole trader (self employed) do not account for the number of clients you may have.
It is not relevant for tax purposes.
The number of clients does not affect being self employed or registering as a sole trader.
Your client(s) can be within or outside of the UK, or a combination of the two.
This just means that you have foreign self employment income, which is included in the self employment figures reported on your tax return
And if foreign tax is deducted, you can claim a foreign tax credit in the foreign section of the tax return.
Thank you. .
 
Posted Mon, 04 Sep 2023 17:23:35 GMT by Slava
Hello, thank you very much for the clarification.
Posted Sun, 04 Aug 2024 22:48:35 GMT by Mark_P
Hi Slava, I believe I'm in some kind of similar situation to yours and struggling to correctly register myself. Have you managed to register yourself as Self Assessment or you have chosen another approach (fop))? Many thanks for any response. Regards, 

Name removed admin .

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