For many bloggers, blogging starts out as a hobby, but for many, it can turn into a part-time or even a full-time job. Once you start earning money from your blog, you will need to start declaring your income to HMRC.
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If you haven’t already done it, this means you that will need to register with the taxman as self-employed. Keeping on top of your tax can be daunting. What can you claim as any expense? How should you keep track of everything? Should you work with an accountant or look into auditing services? As long as you follow these very simple tips to get you started and help you to stay on top of your taxes. Get organised and your blogging career can flourish.
Get Organised With Your Receipts
Keep all of your invoices and all your accounting information in one place. Keep all these information well organised so you can keep track of your incomings and outgoings. When it comes to filing your tax return, you can make your life much easier by having your accounts in a tidy fashion, so you don’t have to search around for the information that you need. This will also help you if you need to employ an accountant in the future, as they will be able to sort out your finances much more easily for you.
Take Your Time
The first time you fill in your tax return, take your time. Most people leave theirs until the last minute and end up having to do them in a rush. In fact, you can file months before the deadline, and can even start your return, leave it for a while, and come back to finish it at a later date. Give yourself plenty of time to sort out your tax return. Read everything carefully, make sure you have understood everything, and leave yourself time to go away and do more research or ask for help, if you need it. With enough time to concentrate on it, filing your tax return doesn’t have to be as stressful or as painful as you might be expecting, or as those last-minute people make it out to be.
Use A Tax Agent
If you’re finding it all a bit confusing, hire an expert. There is no shame in asking for help and asking an account to help you. There are accountants out there who specialise in working with small businesses and small traders who will be able to go through all of your accounts with you, saving you a lot of time and effort. They might even be able to save you money, as they’re the experts on what can be claimed as an expense.
Don’t Be Late
Try to file your tax return in plenty of time before the deadline. If you file your return too late, you run the risk of being hit with a penalty fine, which could cancel out any tax rebate you were hoping to get.
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