Am I self-employed?
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    Default Am I self-employed?

    Hi,

    I am filling out my self-assessment and it asks whether I am self-employed. I have set up a LTD company, of which I am the director.

    I was told by my accountant that I am technically an employee of my own LTD company, and not self-employed. Does this mean on my self-assessment form I should put down that I was employed? And give the LTD company details as the employer?

    The questions are:

    - How many employments or directorships did you have?
    - How many self-employed businesses did you have?

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    Quote Originally Posted by faisal27 View Post
    Hi,

    I am filling out my self-assessment and it asks whether I am self-employed. I have set up a LTD company, of which I am the director.

    I was told by my accountant that I am technically an employee of my own LTD company, and not self-employed. Does this mean on my self-assessment form I should put down that I was employed? And give the LTD company details as the employer?

    The questions are:

    - How many employments or directorships did you have?
    - How many self-employed businesses did you have?
    You are not self-employed - unless you have another source of income from a business which is not a Limited company. The self-employment pages are for non-incorporated businesses.

    You are employed by your Limited company, you will need to add an employment page and include the details of the Ltd company name, PAYE scheme number, gross pay and tax, confirm you are a Director and if it is a close company (essentially less than 5 individuals).

    I can imagine in your case it would be:

    - How many employments or directorships did you have? 1
    - How many self-employed businesses did you have? 0

    But you will need to also complete the dividend section of the self assessment, if you have received any from your Ltd company.

    Plus, if you have any other sources of income too: additional or previous employment, bank interest, rental income, etc...

    HTH

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    Default

    Am I self-employed?
    Nope. Next.

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    Why not pay your accountant to do your self assessments or find one that offers it part as a package?
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    Default

    Quote Originally Posted by Louisa@AardvarkAccounting View Post
    You are employed by your Limited company, you will need to add an employment page and include the details of the Ltd company name, PAYE scheme number, gross pay and tax, confirm you are a Director and if it is a close company (essentially less than 5 individuals).
    You aren't necessarily an employee of the company - I'm not an employee of any company. But you still need to complete the employment page
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    Louisa@AardvarkAccounting's Avatar
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    Quote Originally Posted by TheFaQQer View Post
    You aren't necessarily an employee of the company - I'm not an employee of any company. But you still need to complete the employment page
    There's always one! I was trying to keep it simple.

    But you are quite right, you don't necessarily have to be an employee of the company and in which case: you may find that if you create an employment page, it won't allow you to submit without a PAYE scheme reference number. If this is case and you don't have a PAYE scheme open for the Ltd company you will need to add in 000/N.


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    Quote Originally Posted by Louisa@AardvarkAccounting View Post
    There's always one! I was trying to keep it simple.

    But you are quite right, you don't necessarily have to be an employee of the company and in which case: you may find that if you create an employment page, it won't allow you to submit without a PAYE scheme reference number. If this is case and you don't have a PAYE scheme open for the Ltd company you will need to add in 000/N.

    I've fallen foul of that in the past whilst still a director but having deregistered the company from PAYE. You can still declare dividends on the other part of the SA.

    But what's an 000/N? Something I should have done?
    Will work inside IR35. Or for food.

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    Quote Originally Posted by VectraMan View Post

    But what's an 000/N? Something I should have done?
    Some software won't allow you to create an employment page without including a PAYE reference. If your company does not have one, the workaround is to add in 000/N in the PAYE tax reference box.

    This will allow you to still then confirm you are a Director and of a close company (if these apply).


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    Quote Originally Posted by TheFaQQer View Post
    You aren't necessarily an employee of the company - I'm not an employee of any company. But you still need to complete the employment page
    Yes you are.

    https://www.gov.uk/working-for-yourself

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    Quote Originally Posted by m0n1k3r View Post
    Hmmmm.............

    Many of these also apply if you own a limited company but you’re not classed as self-employed by HMRC. Instead you’re both an owner and employee of your company.

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