Freelance income

Hi, I write and edit articles for an overseas website which amounts to £1,154 in the 2022/2023 tax year. The website charges a set rate for certain articles. I send a summary of what I've done at the end of each month and I'm paid via paypal in British Pounds. I'm filling out the self assessment tax returns form. I believe this is classed as foreign income as the payee is based in the US. However, it seems I am unable to apply the £1,000 trading allowance to this amount when declaring it under the foreign income section. Is this classed as foreign income if I am based in the UK and do the work in the UK? I do not pay US tax on these earnings. If it is classed as foreign income, am I not allowed to remove the £1,000 trading allowance from the income?

Hi Jess Clayton-Berry

You will declare this as self employment on your return in order to claim the trading allowance.
If foreign tax has been deducted, you will also show this as foreign income in order to claim tax relief for the tax.

Thank you