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How To Register As Self-Employed UK

How To Register As Self Employed

Have you started working for yourself? If so, you most likely need to let HMRC know that you’re self-employed. This involves registering with HMRC and paying the appropriate tax.

But how do you declare yourself as self-employed in the UK? That’s what we’ll be exploring today. Read on to find out about the registration process!

 

Do I Have to Register as Self-Employed?

You will need to register as self-employed if you:

  • Have your own business
  • Work for yourself (are not employed by somebody else)
  • Provide your own equipment and charge fixed prices for your work
  • Sell goods or services for profit
  • Earn over £1,000 from being self-employed per year

 

So, if you’re a freelancer, a contractor, a tradesperson or you own a small business, you will have to register as self-employed. If you earn over £1,000 profit per year from being self-employed, you need to register with HMRC so you pay the appropriate tax.

 

When Do I Need to Register as Self-Employed?

We recommend that you register as self-employed as soon as you start working for yourself – however, you have until the 5th of October of your second tax year.

So, if you started working for yourself in September 2024, you need to register before 5th October 2025. Registering as soon as you begin self-employment can prevent fines and penalties.

 

Steps to Take When Declaring Yourself as Self-Employed:

Now you’ve determined whether you need to register, let’s explore how you register:

 

Step 1 – Create a Government Gateway Account

Creating a Government Gateway account is simple – begin by entering your email address, and then you will be sent a user ID. Use this ID to complete the next steps outlined here.

 

Step 2 – Register on the Government Gateway

With your user ID, you will then be able to sign in and register for self-employment. You’ll need to provide information such as:

  • Your National Insurance Number
  • The date you became self-employed
  • Your address and contact information
  • The nature of your self-employment
  • Tax to add (in this instance, it should be Self Assessment)

 

Step 3 – Receive Your Unique Taxpayer Reference

When you’ve successfully registered, you will then be sent a letter. This letter will contain your Unique Taxpayer Reference (UTR), which consists of 10 digits. You will use your UTR on your tax payments. Then, you’re officially registered as self-employed and can complete your Self Assessments when required!

 

What If I’m Not Self-Employed?

If you want to register for Self Assessment and you’re not self-employed, it’s a quick and simple process. You may need to do so if you have earned more than the £1,000 threshold from property, or have other untaxed income.

Simply follow the steps to create a Government Gateway account, and fill out the necessary forms on the site. You will then receive your UTR in the post, which you can use to complete Self Assessment tax returns.

 

Steps to Take After I’ve Registered as Self-Employed

Now you’re registered with HMRC, you need to ensure you’re prepared for the upcoming Self Assessment…

  • Make sure you keep track of your financial movements, (keep on top of invoices, incoming payments or receipts.
  • Keep track of deadlines for Self-Assessments – they need to be completed by the end of January every year. Keeping on top of these deadlines will help you avoid penalties.
  • Register for VAT if your annual turnover exceeds the current threshold
  • Understand your NICs (National Insurance Contributions)
  • Fill out your tax returns when required!

 

Stay on Top Of Your Self-Assessment Tax Returns with LJS Accounting Services

Running your own business or simply being self-employed can be stressful and time-consuming, and not everybody has time to deal with their tax returns. This is something we can help with at LJS Accounting Services.

We can help you deal with your personal tax to ensure you send your tax returns on time and in line with HMRC, helping you avoid any fines or penalties.

For more information on the services we offer or to speak to a member of our team, don’t hesitate to contact us today. We are more than happy to help!

Have You Got Any Questions?

Need to talk to someone? Get in touch with one of our consultants today and we will be happy to help.
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