Reporting Multiple Income Sources
Juggling different types of income on one tax return can seem daunting, but it's very common. This guide shows you how to correctly report both your self-employed profits and any capital gains, all in one go.A Self Assessment tax return is designed to bring all your different sources of income together. Let's break down how to handle the two main sections for self-employment and capital gains.
Part 1: The Self-Employment Section (SA103)
This is where you report the finances of your business. The key figures you'll need are:
- Total turnover: All the money your business earned before any expenses
- Allowable expenses: Costs of running your business (e.g., materials, travel, office costs)
- Net profit: Turnover minus expenses — this is the figure you’ll pay Income Tax and National Insurance on
Part 2: The Capital Gains Section (SA108)
This section is for reporting profit from selling a chargeable asset — anything from a second property to shares or cryptocurrency. Key figures include:
- Disposal proceeds: What you sold the asset for
- Allowable costs: Original purchase price plus associated costs (e.g., solicitor fees, improvements)
- Capital Gain (or Loss): Proceeds minus allowable costs
Bringing it all together
When you use Taxd, our platform guides you through each section one by one. You'll complete the self-employment part first, then move on to the capital gains section.
The software applies relevant tax rates and allowances — like your Personal Allowance for income and the Capital Gains Annual Exempt Amount — to calculate your final tax bill.
If you have a capital loss, you can use it to offset gains from the same year or carry it forward for future use.