Freelancer looking to add a business activity

[jtufty]

Hi,

I am a freelance web developer, have been for 15 years. Im a sole trader, non-vat registered.

I play guitar, and Ive been asked by a few people if I offer guitar lessons. It got me thinking whether this could be another revenue stream.

If I start making an income from giving music lessons, do I need to report to HMRC about the addition of a business activity? Ill let me insurance company know, but from a tax and accounting perspective, is there anything I need to be aware of or take into account?

Thanks

[bd6759]

It’s a separate trade and needs reported on a separate self-employment page.

[jtufty]

Thanks @bd6759. Apologies for my late reply, Ive been away.

Im not sure if its worth it for a speculative start of a trade. I may only make £1k a year. Or less than that and in year 2 Ill decide its not worth it. Or it may increase to a lot more in future years!

If its literally just a case of filling in an extra page on the SA form then Id be tempted. Although in the first year Im likely to make a loss because Ill need setup costs (PL insurance, cheapy guitar/amp for the students etc). So Im not too sure?