Tax basics

Quick Guide

For those of you in a hurry here is a quick guide to tax and sex work. There’s a lot more information to be found elsewhere on this site but here are the basics.

Is it taxable?

Yes, it is. And here’s a quick explanation of why it’s taxable.

Registering

Ten reasons for signing up with the taxman, and how to do it.

Bookkeeping

The law requires you to keep business records which are good enough to enable you (or your accountant) to complete your tax return form each year. Here are the golden rules of bookkeeping.

Income & Expenses

Before your tax bill can be calculated you need to work out how much you’ve earned. So it’s time to look at what makes up your business income and what expenses you can take off to arrive at your business profit.

Income tax & NI

How is your bill for Income tax and National Insurance worked out?

Saving up to pay tax

With a tax bill to pay every 6 months you probably want to set money aside regularly through the year. But how much?

VAT

Most escorts will not earn enough to be troubled by VAT, but it is important to be aware of how it works because getting accidently caught in the VAT net can prove very, very expensive.