How JustAnswer Works:
  • Ask an Expert
    Experts are full of valuable knowledge and are ready to help with any question. Credentials confirmed by a Fortune 500 verification firm.
  • Get a Professional Answer
    Via email, text message, or notification as you wait on our site. Ask follow up questions if you need to.
  • 100% Satisfaction Guarantee
    Rate the answer you receive.
Ask Sam Your Own Question
Sam, Accountant
Category: Tax
Satisfied Customers: 14195
Experience:  26 HMRC expertise, PAYE, Self Assessment ,Residency, Rental Income, Capital Gains, CIS ask for Sam Tax
Type Your Tax Question Here...
Sam is online now

im a sole trader with a income of 20,000 how much tax will

Customer Question

i'm a sole trader with a income of 20,000 how much tax will i have to pay

I run an online radio station.

The money received is in donations

I have also been claiming benefits until recently as the donations this year became rather big but i feel the the estimated amount is around 20.000
Submitted: 3 years ago.
Category: Tax
Expert:  Sam replied 3 years ago.

Thanks for your question

You state that this are donations, but how do they come about??

Do you advertise in return for the "donation" - or does the donator get some other form of compensation for the money they put into this radio station,
Have you registered for self assessment as a sole trader with HMRC
Do you incur any expenses from this?
If so, do HMRC recognise this money as donations
Have you told the benefit office of this money? How are the treating it ?

Please advise further


Customer: replied 3 years ago.

Hi Sam I don't know this is my first year really and these people just donate to keep the station going as we provide support for people you see



No i have not registered for self assessment, but i have paid Ni contributions


WellI told them but until this year I have not been getting much in donations then this year the last five months i think around 15 thousand


Expert:  Sam replied 3 years ago.

Thanks for your response

Community radio and donations received are usually treated as not taxable but it seems that this is something that you do for yourself - that being the case, then you really should have registered for self assessment/self employed as soon as this began - and also readvise the benefits office of the increase in amount as this will affect your benefits.

I have added a link here to register for self assessment as a self employed individual - this is to register online

Let me know if you would prefer to telephone HMRC and I can provide a contact telephone number.

Depending on when the larger donations started will depend on whether you need to complete a 2014 self assessment tax return (which covers the period from 06/04/2013 to 05/04/2014) or whether the first big donation came in after 05/04/2014, in which case your first self assessment tax return will be issued for completion after 05/04/2015

Let me know if you need any clarification on the above