Taxes aren’t fun, but they’re part of the side hustle game. Here’s a quick overview of what you might need to know depending on how you’re earning.
I’m buying or making things to sell
Think Etsy, eBay, Depop, or car boot sales turned digital. If you’re regularly selling for profit (even second hand goods), you may be seen as “trading” and need to register as self-employed. Track everything: what you buy, what you sell, and your costs.
I’ve got a side gig
Deliveroo, freelance writing, tutoring, hair styling—it all counts. Once you earn over £1,000 in a tax year, you need to tell HMRC and register as self-employed. You’ll likely file a Self Assessment tax return each year.
I work for myself doing multiple jobs
You wear lots of hats. No problem—just make sure you’re keeping your income and expenses separate for each stream where possible. Apps like QuickBooks or FreeAgent can help make this easier.
I’m a content creator or influencer
Getting paid for videos, posts, affiliate links, or brand partnerships? You’re running a business, even if it started as a hobby. You need to declare income from YouTube, Instagram, TikTok, etc.—even if it’s gifted products.
I rent out my property
If you rent out a room, your whole property, or even just your driveway, this can count as income. The Rent a Room Scheme allows up to £7,500/year tax-free for renting a furnished room in your home. Otherwise, you may need to report rental income.
Tax Disclaimer
This section is for general guidance only and does not constitute legal or financial advice. Always check the latest rules on gov.uk or speak to a qualified accountant or tax advisor to make sure you’re meeting your obligations correctly.
