work for company and self employed

U

uliar

Guest
Hello there,

I am happy to find this forum. This is my first post so if i make any mistake I am sorry.

I just wonder if you can advice me in this matter.

My friend work for big company and he is there full time employee, he is very happy about this job, and everything is fine.

After work he want to establish company, self - employed, and the question is that can he do that? Or he will be sack after ER (full time position) will find out what he doing.

I have to say that this self - employed company is completely not connected with the business full time job like employee (just total different asset). In first job he is care assistant, he want to set up company like IT person (fixed pc and stuff like that)

What he can do and what he can't do?

He will loses credit on his PAYE?

Kind Regards
Uliar
 
Once the self-employment is unconnected with or prohibited by the main job ( as seems to be the case ) , then there should, normally, be no reason why your friend could not do this. He would keep his regular tax credits, personal, PAYE etc. for his main job. That would not be affected. He would have to register for self-employed taxes. It is not likely that a limited company would be needed for a secondary job like this. He could just register as a sole-trader. That can be done with Revenue on form [broken link removed]. Any income , after expenses would be taxed at his marginal ( highest) rate. There may also be PRSI/Levies payable. It would be important to keep proper records so that all allowable deductions could be claimed. If your friend is not very sure of bookkeeping/tax, it would be well worthwhile engaging the services of an accountant / bookkeeper. Bear in mind that if he does more than €37,500 in services in a year he would have to register for VAT also. That is the money charged from the self-employment. His PAYE work is not taken into account there and remains totally separate.
 
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