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Have an IRP5 but am an independent consultant, how do I answer some questions?



Candice says:
25 November 2015 at 2:48

I was part-time employed for 5 months of Tax year 2015, for which I have an IRP5. But I have made income elsewhere throughout the year as an independent consultant (freelancer). I am a little uncertain how to answer some questions, such as: "Did you spend any other money related to your earnings that you think you can claim as a deduction? You must have an amount next to source code 3606 (commission) on an IRP5 to qualify". The expenses I'd like to log relate to work that is not reflected on an IRP5, as for most of the consulting work. So, do I answer yes or no to this question?

TaxTim TaxTim says:
25 November 2015 at 10:15

You must answer yes only if you are a commission earner and have income reflected under code 3606 on your IRP5.

Your consulting income and expenses must be reflected in the "local business trade and professional income" section on your tax return - therefore answer yes to the question asking if you carry out a separate trade/business.

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