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We've scoured the web to get you the most up-to-date advice which includes the most useful tools on offer from the officials themselves.

Effective tax planning is essential if you are to minimise your tax bills. Simple tax planning can significantly reduce your tax liabilities.

The self-assessment tax return is an unavoidable burden if you are liable for self-employed tax or have complicated income tax affairs.

Corporation tax is charged on a company's profits. If you trade as a limited company, ensure that paying this tax is as painless as possible.

National Insurance Contributions (NICs) are payable whether you are self-employed or employed by your own company, although different rates apply.

As well as your legal obligations, you’ll want to ensure that payroll is painless and that you use any opportunities to improve your tax-efficiency.

VAT

Effective VAT planning aims to ensure that VAT is relatively painless, and that you are reclaiming as much as possible of the VAT you pay.

Capital gains are made when you sell something for more money than you paid for it. As a result, you can be subject to tax. Take professional advice.

Business property taxes apply to businesses with commercial premises.There are two commercial property taxes: business rates and stamp duty land tax.

If you have tax problems or face a tax investigation, it pays to seek professional advice and you must act rather than just hoping for the best.

Etsy sees big rise in sellers as side hustles take off

8 June 2021

The number of active Etsy sellers almost doubled in 2020 as almost two million people worldwide looked for new ways to earn money from home during the pandemic.

A new study by Money.co.uk has found that the number of people using Etsy to sell products rose from 2.69 million active accounts in 2019 to 4.63 million in 2020 as many people decided to turn their hobbies into thriving businesses during the COVID-19 pandemic.

Big cities around the world saw a significant rise in the number of people setting up their own businesses as many people were furloughed or lost their jobs.

The findings suggest that London is the side hustle capital of the UK, with over 1.1 million products being sold by Londoners on Etsy in 2020. The most popular business category in the city is home and living (which includes homewares and crafts), followed by jewellery, art and collectibles. With each product averaging £10.57 per item, these businesses are potentially bringing income of £11 million to entrepreneurial Londoners running a side hustle.

Other UK cities where online side hustles are booming are Manchester, Birmingham, Glasgow and Southampton. In global terms, New York has the largest number of Etsy listings, with 2.9 million in total contributing, on average, $43.8 million (£31m) to Etsy sellers.

When it comes to business types, the most popular category by far, accounting for 25% of all Etsy sellers, is home and living. This includes everything from furniture to crafts. Art and collectibles is the second most popular side hustle with 21% of Etsy sellers in this category. Jewellery comes in third place, with 15% of Etsy sellers having listings in this category. Sellers in electronics and pet supplies stand out from the crowd - the findings show that just 1% of all Etsy stores have products listed in this category.

Written by Rachel Miller.

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