Need help with tax for self employment

[manny__s]

Hi,

I found this website and I need some help with understanding tax. I'm 19 years old and i've been earning money from self employment for around 15 months now. I am currently not registered as being Self Employed with the HMRC. The money I earn is from Twitter and I am paid a fixed amount by company for every referral(click) I get on there website. For the first 6 months I was earning £120 a week which was the maximum I could earn from them. For the 4 months after that they increased the limit from £120 to £200 so I was earning £200 a week. However for the last 5 months the pay increased further to £300 a week and therefore I have been earning that for the last 5 months.

In the last month another company got in touch with me and offered me another deal very similar to the one I already have so I am now working with both companies. I have just received my first earnings from this new company as they pay monthly and the amount I received was £2000. Now with the income I am receiving from both of these companies hitting around £3200 a month.

I didn't register straight away as I was only earning £120 a week which meant that I would be earning under the £9440 personal allowance you are allowed to earn. What I want to know is If I register for HMRC as self employed right now, will I get fined? I also would like to know if I will have to pay any tax on the income I have earnt in the past few months? Also how much of my current income will I have to pay to HMRC from now on?

I am very confused and could really do with some advice and help.

[bd6759]

You need to register now.
Any penalty will be based on the tax unpaid. If there is no tax unpaid, you won't be fined. From what you say, there will be no tax liability in the 2012-13 tax year (ended on 5 April 2013).
You have until 5 october this year to notify that you are liable to tax in the 2013-14 tax year. It is best to do it now so that they send you a tax return. This removes your obligation to notify, but does impose an obligation to file a return.