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Need help with the 25/26 payroll year-end?Ask Us Anything

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jakejevans
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Hello!

 

I have a question about how much tax I may owe, but can't seem to find the answer anywhere.

 

I went freelance (sole trader) midway through the tax year, starting my freelance copywriting business in October. At my previous job, I was paying taxes through PAYE up until September.

 

I have read that before your freelancing business earns £12,000, it isn't necessary to pay significant taxes. I definitely won't reach this figure before the end of the tax year, so I was assuming I wouldn't pay much tax on this money. However, I was unsure if the non-freelance money I earnt in the first half of the year will be incorporated into this figure, taking me over this threshold and meaning I will pay this tax on my freelance money. 

 

Do you have any insight on this? As you can understand, I don't want to be hit by a surprise tax bill that I wasn't anticipating!

 

Thanks,

 

Jake

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