NI to pay when property developing

[laurag1996]

Hi, I am in the process of buying a house and re-developing it for capital gain. I understand I will have to pay income tax on the gain also I am just wondering where I stand with NI contributions/SA/and how to inform and If I need to the IR about this??? Any help is greatly appreciated.

[ntipping]

I presume from your query that you will be treated as trading (property development). In this case, you will need to register as self employed and pay class 2 and 4 NIC's. You need to cut and paste the following link into your web browser for information on registration (and this should be undertaken within 3 months of commencing trading in order to avoid any late registration penalties)

http://www.hmrc.gov.uk/businesses/tmastarting-up-in-business.shtml

[tom 7000]

You need to find an accountant to help - normally the first meetings free and he should give you lots of useful tips - maybe trading as a company is better for example?

If you are not sure where to find one try

www.accountantbrokers.co.uk

or if you are near the GU postcode area pop in and see me

tom@ttca.co.uk