H4jK34

Good afternoon, I have a couple of questions around the VAT registration threshold (£85-90k over 12 rolling months) as I am currently employed full time (normal PAYE employee) while running a side hustle as sole trader. 1. Does my salary from employment, wether before or after tax, count towards the VAT registration threshold? So, if the threshold is £85.000 and I make £40.000/year working as employee in a company, does it mean that my threshold goes down to £45.000? 2. Under my business as sole trader what count towards the threshold? My gross income or gross profit? Or something else? For example, I buy an item for £50 and I have £10 in costs associated to it. I then sell the item for £100, realising £40. Do I need to use £100 or £40 to calculate the threshold? Thanks.