EH Pottery

Hello all, It's my first time filling out a self assessment form after setting up a small ceramics business last year. This year I'm closing in on going over my £1000 limit and will need to declare my income. As it's the first time, and my situation is a bit niche, I'm struggling to get confirmation on a few things and I was hoping to find some advice one here. - Currently my income streams are split into two. I make the majority of my extra income through my ceramics business, while I also top up my income doing online studies which makes smaller but not insignificant amount. Will I need to fill out two seperate self assessments? Or will they be grouped into one under me as someone self employed. - Because ceramics is a pretty cost heavy enterprise, and I'm really only starting out. My business expenses far outstrip my income. I believe my current costs vs income looks at about £1700 vs £800. I'll expect this to even out a bit over the Xmas period. But realistically my ceramics enterprise is never going to do more than break even, which is all I'm really aiming to do, and I'll expect to finish the year on a loss overall. How do expenses vs income work when it comes to taxation. If I have spent far more than I have earned, will I still be hit with a tax bill? - I'm also on full time PAYE for my main income, will this mean I have to submit differently, or will it affect my taxation overall? - Finally, do you have any advice on what is a good % of income to reserve to cover potential tax costs at the end of the year? The last thing I want to do is hit the new financial year and realise I've got a hefty bill that will bankrupt me! Thanks in advance for the help! There are quite a few things I'm trying to work out.