[Mandy Moo]

Hi, I've just accepted a full time position which involves only packaging design (i'm predominately a print designer). I want to be in a position to continue building my portfolio and keeping my design range varied. I have come up an idea... which is taking on the odd freelance project (say about 2 or 3 a year).

Now if I am only going to be taking on roughly 3 projects a year, do I still need to register myself as self employed? Do I still need to deal with tax etc?

[Maerk]

My understanding is you don't need to register or anything, just declare your extra earnings (over a certain amount not sure on the amount) to the tax office, think they have information on their site about such things.

[d*d]

You will have to fill in a self assessment tax return, you'll have to phone the inland revenue so that they send you one.

[funkyprem]

I'm loving HMRC right now. They've just sent me my paper tax return AFTER the deadline for the online return. We'll see if they try to fine me for being late!

[chazthetic]

In the states you just claim your extra income if it's above a certain amount.

[steveb]

In Finland, you hand over your auxiliary income tax paper or email a jpeg copy to the temporary employer who deducts the percentage and the tax office knows about it "automatically". And you usually end up with a tax rebate at the end of the following year.

[Mr Fred]

unless they ask.................

[steveb]

They don't need to ask, because the temporary employer does all the necessary paperwork so the tax authorities already know. The only trouble is, these little jobs are taxed at a much higher rate than your full-time job income, but like I said, it usually means a rebate later down the line - around the first week in December of the following year.

[Mandy Moo]

I think in the UK you get taxed more freelancing than full time employment anyway.
I think I might start off by doing a few free design work first to get the ball rolling. If I only charge for expense (ie cost of paper, disk etc) I don't need to get the tax office involved do I?

[steveb]

Call them and find out! Then you'll know exactly how much you can earn without declaring it, what the procedure is and you won't need to worry all the time that the Tax Gestapo will catch you doing something punishable.