The gig economy is growing rapidly across the UK. Whether you're driving for Uber, selling handmade products on Etsy, creating YouTube content, or running a weekend side hustle — you may need to file a Self Assessment tax return.
Many people assume that if it’s “just extra income”, it doesn’t need to be declared. Unfortunately, that’s not how HMRC works.
In this guide, 11TaxAssist explains who must file Self Assessment in the UK, how to declare side income properly, and how freelancers can avoid penalties.
📌 Who Needs to File Self Assessment in the UK?
You must submit a Self Assessment tax return if:
- You are self-employed and earned over £1,000
- You received untaxed side income
- You earned rental income
- You are a business partner
- You received dividends or investment income above allowance
👉 If your trading income exceeds the £1,000 trading allowance, you must register for Self Assessment.
🚗 Self Assessment for Uber & Deliveroo Drivers
Uber and Deliveroo drivers are classed as self-employed.
- Register for Self Assessment
- Keep income & expense records
- Pay Income Tax & National Insurance
Allowable Expenses
- Fuel & mileage
- Insurance
- Repairs & servicing
- Phone bills
- Platform commission fees
⚠️ Platforms report earnings directly to HMRC. Undeclared income can trigger penalties.
🛍️ Self Assessment for Etsy & Amazon Sellers
Selling online—even part-time—counts as trading income.
You Must Declare:
- Product sales income
- International sales
- Digital products
- Platform payouts
You Can Deduct:
- Cost of goods
- Packaging & shipping
- Advertising
- Home office expenses
- Software subscriptions
🎥 Self Assessment for YouTubers & Influencers
Income from content creation is taxable in the UK.
Taxable Income Includes:
- AdSense revenue
- Sponsored posts
- Affiliate commissions
- Free products (in some cases)
Allowable Expenses:
- Equipment
- Editing software
- Internet costs
- Travel
- Marketing
💼 Declaring Side Hustle Income in the UK
If you sell, freelance, tutor, consult, or dropship — you are likely trading.
Important Deadlines:
- Register by 5 October
- File by 31 January
- Pay by 31 January
Late filing results in £100 automatic penalty + daily fines after 3 months.
📊 Do I Need to Pay National Insurance?
If profits exceed the threshold, you may pay:
- Class 2 National Insurance
- Class 4 National Insurance
These contributions count toward your UK State Pension.
🔎 What Happens If You Don’t Declare Income?
HMRC receives data from banks, online marketplaces, digital platforms, and payment processors.
Penalties can reach up to 100% of unpaid tax, plus interest.
🧾 How 11TaxAssist Helps Freelancers & Side Hustlers
- Freelancer tax returns
- Gig economy tax filing
- Online seller Self Assessment
- Influencer tax support
- Expense optimisation
- HMRC compliance guidance
We help you reduce tax legally, file accurately, and avoid penalties.
🚀 Final Thoughts
If you earn income outside traditional employment, chances are you must file Self Assessment in the UK.
Freelancers, Uber drivers, Etsy sellers, Amazon traders, YouTubers, influencers, and side hustlers — all fall within HMRC’s reporting system.
The earlier you prepare, the less stressful January becomes.