Whether you sell homemade jewellery, rent out your spare room or get paid for social media content, earning extra cash is great, but you might also have a legal duty to report it to HM Revenue & Customs (HMRC).
If you made more than £1,000 in additional income last tax year, you may need to register for Self-Assessment and file a tax return.
Examples of where this applies include:
Many people do not realise they have gone over the £1,000 threshold.
But if you have, it is important to act. HMRC expects you to take the first step and declare your income.
Filing your return sooner rather than later takes the stress out of tax season. You will:
No one enjoys dealing with taxes at the last minute, especially when a payment is involved. Sorting it now gives you time to plan ahead.
No, it also covers landlords, crypto investors, and anyone earning income not taxed through PAYE.
If your business income as a sole trader or property owner exceeds £50,000, you will need to prepare for the new Making Tax Digital (MTD) rules coming in from 2026.
These will require quarterly digital updates to HMRC, using approved software.
If you are not sure whether this applies to you, or you want to avoid nasty surprises in January, our friendly team is here to help.
Get in touch for clear advice and practical support.
