To Work Freelance

[Abstract2069]

What do you need to do to be a freelancer? What I mean is to you have to officially register anywhere and what about tax etc?

Any info or links to info, no matter how little would be greatly appreciated.

Thanks.

[tg]

make some business cards.... start handing them out.

[Abstract2069]

So lets say "Bob" wants to hire me to build him something, I complete the work, he pays me and thats perfectly legal? Theres no tax involved or anything?

[Xeef]

ofcorse is tax inwolwed :) the goverment is always geting a part :)
but how mach you mayby ask a loier
mean if you make 1 job a year for 50$ and you dont pay tax you will get no trobel i thin (keap in mind its stil ilegal!)
but if you make a side for cocacola for 100000$ and dont pay tax there is a high chance for big trubel!

if you wana amputete some bodys leg you need to by a DOCTOR
if you wana bild a bilding you also need some qualifikation

but i not now somthing about such a thin by computer (not yet)

[Abstract2069]

I dont really want to get into any kind of trouble with the tax man, so how do i go about letting him know that I am earning money through freelance work and need to pay tax? I really don't know much about this stuff.

[Xeef]

hmmm it can be realy complicated (no it is!!)

tax is depeding in most of te countris on how much you earn
you eran 10000 a yeah and pay 10%
you eran 100000 a yeah and pay 13%
you eran 1000000 a yeah and pay 40%
you normali also have to pay unemployment insurance healt insurence
it get even more complicated when you have a "normal job"
let say you work as a police man and earn 20000 a year now you earn whit some freelancer job an aditional 5000
20000 --> 11% 5000-->4% 25000 -->???% (as freelance you pay diferent rates then as normal worker but they considerated both)
not now how it is else where but i think in germany you even need the premision form your boss (police man) that you can do aditional work (you work too much and can't do your job right)
if you have a wife you pay less if your wife is also working you pay more but still lest then whit out wife
if you have children you pay less
if you have to pay monny to work (buy flash) then you pay less
if you start work at september and end it on May but you get the monny instantli
in which year do you pay tax? if you get it 2 weeks after job finis when then ??
if you hawe to pay monny back to some body maybe you pay less

and so on ......

[Xeef]

it's is not for nothing that most of the tax advocate are rich
if you will by on the save side go to one!!!

the easyest way woud by to earn straight 10000000$
form a cetrain amount you always pay the same rate :)

[pinkaboo]

Okay, so you are in England. Check out the Inland Revenue website, here's the direct link to their section on dealing with tax when you are self-employed.

http://www.inlandrevenue.gov.uk/selfemployed/

At a glance it looks like you need to register as self employed and file your own tax returns, but if I were you I'd go to the "contact your local office" section and see if you can talk to someone to get a proper perspective on your situation.

Mmmm taxes, enjoy!

[pinkaboo]

Actually, check this link out too:

http://www.inlandrevenue.gov.uk/pdfs/ir56.htm

Whether you are considered to be an employee or self-employed isn't so clear cut. If you were doing freelance work through an agency I think you'd be considered an employee and the agency should deal with taking your taxes from your pay packet.

Be safe, give your local friendly tax man a call. I'm sure he/she'll have no problem taking that money from your grubby little hands.

[Tink]

definately talk to someone at the your local tax office link pinkaboo says. you definately need to register as self-employed and as soon as possible.

if you leave it, you get fined for registering late

[Abstract2069]

Thanks everyone for your help, it is much appreciated. There really is so much that you have to do! I'm off to visit my local Inland Revenue in a few days, hopefully I'll be able to sort a few things out there.

Thanks again.