Self employed & NI

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PGM
PGM Registered Posts: 1,954 Beyond epic contributor 🧙‍♂️
in General accounting discussion
If someone has completed a self assessment with self employment income on, but not registered with HMRC for being self employed or paid NI for the period, are there any penalties likely?

Obviously they'll need to register as self employed back to the date they first started trading, and pay NI due. Wondering if there'll be fines or interest due?

thanks

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  • jamesm96
    jamesm96 Registered Posts: 523
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    PGM wrote: »
    If someone has completed a self assessment with self employment income on, but not registered with HMRC for being self employed or paid NI for the period, are there any penalties likely?

    Obviously they'll need to register as self employed back to the date they first started trading, and pay NI due. Wondering if there'll be fines or interest due?

    thanks

    I've certainly known clients (small ones, anyway) to get away with it.
  • PGM
    PGM Registered Posts: 1,954 Beyond epic contributor 🧙‍♂️
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    jamesm96 wrote: »
    I've certainly known clients (small ones, anyway) to get away with it.

    How did they deal with it?

    Thers is the online form to register, but ts probably better to phone and discuss with someone...
  • jamesm96
    jamesm96 Registered Posts: 523
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    PGM wrote: »
    How did they deal with it?

    Thers is the online form to register, but ts probably better to phone and discuss with someone...

    As I remember, I think we / they have just used the online registration that you mention so get the UTR. I believe I've seen payment requests for backdated Class 2 NI but I don't think I've ever seen any penalties or interest. (Sorry, I know I'm being vague!)
  • PGM
    PGM Registered Posts: 1,954 Beyond epic contributor 🧙‍♂️
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    jamesm96 wrote: »
    As I remember, I think we / they have just used the online registration that you mention so get the UTR. I believe I've seen payment requests for backdated Class 2 NI but I don't think I've ever seen any penalties or interest. (Sorry, I know I'm being vague!)

    Thats great, thanks for your help.
  • jamesm96
    jamesm96 Registered Posts: 523
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    PGM wrote: »
    Thats great, thanks for your help.

    No worries at all.
  • Paul C
    Paul C Registered Posts: 193 Dedicated contributor 🦉
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    I received a letter telling me what I should have paid looking back 6 months plus some - I then submitted an exemption form and letter explaining what had happened - HMRC were very helpful and the exemption was back dated.

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