Working for just 3 days

[rihan007]

hello all,

I have been asked to do a contract work for 3 days. I would be paid at the standard market rate. They would pay me the whole salary and i need to pay tax and ni on it. I tried umbrella companies and other options and none would like to handle my case as its just for three days. How can i pay the tax and ni if i am only doing contract for 3 days in an year.?

please if any one can help?

[d000hg]

Just bill them for 3 days work and its up to you to pay tax on it. You're not an employee if it's only 3 days, it's more like they hired someone to fit a new air-conditioner unit and they get a bill.

[Sockpuppet]

hello all,

I have been asked to do a contract work for 3 days. I would be paid at the standard market rate. They would pay me the whole salary and i need to pay tax and ni on it. I tried umbrella companies and other options and none would like to handle my case as its just for three days. How can i pay the tax and ni if i am only doing contract for 3 days in an year.?

please if any one can help?

Lie to the umbrellas and once they've paid up resign

[rihan007]

Just bill them for 3 days work and its up to you to pay tax on it. You're not an employee if it's only 3 days, it's more like they hired someone to fit a new air-conditioner unit and they get a bill.

Yes that is what i am planning to do. How do i then pay tax on it ? can i do it online via hmrc? how do i pay the NI also? if you guys know, please reply

[Contreras]

Has the client stipulated that you need to work through a Ltd Company?

If not then there's no need to use an umbrella, you can just be "self employed".

If self employed you must tell HMRC, and then do a tax return after year end.

Btw, it's not "salary" otherwise you would be their employee.

[cojak]

And the HMRC website will explain in detail how to do this.

[Andrew at Boox]

Less NI on Self Employed as well

You'll also pay less NI if you go Self Employed . The only pain is the Self Assessment Tax Return you'll need to do each year, but if it's relatively simple it shouldn't cost much to do.

[Greg@CapitalCity]

Yes that is what i am planning to do. How do i then pay tax on it ? can i do it online via hmrc? how do i pay the NI also? if you guys know, please reply

You pay tax using a personal self-assessment tax return. So in order to have these earnings taxed you would need to contact the HMRC and arrange for them to register you for self-assessment so you can complete a 2012/13 personal tax return.

While you are speaking with them, explain your situation, and see what they suggest. Two ideas are;
(1) Treat the earnings as self-employed income. But ensure you get the HMRC to explain to you your NIC Class 2 obligations;
(2) Put this income in the "Other UK income not included on supplementary pages", "Box 16 Other taxable income" section of the personal tax return. This covers casual earnings, commission, freelance income where these items are not reported elsewhere. See what the HMRC think.

Call them on 0845 900 0444.

[LisaContractorUmbrella]

Lie to the umbrellas and once they've paid up resign

Shame on you SP

[ASB]

This might help.

http://www.hmrc.gov.uk/forms/cf10.pdf

The thing is to try and ensure you don't end up needing to pay Class 2 NI for the year.

However, Greg's point 2 is also worthy of note. Especially if this is a one off or at least fairly irregular. This is how I dealt with my ex-wifes misc income and HMRC were absolutely fine it (I just rang them up and said "some casual income, can I just stick in the other income box?". They basically said "absolutely fine".