it all depends really ... if you simply sell the shareware as a person, then i could be counted as a "personal" earnings, but only if you make more than £3,200 in a single transaction.
now if you happen to be unemployed and are selling something, then you should be filing for a cumulative income - which allows you a leaway of around £2,500 (which is ontop of your Job-Seekers allowance essencially bringing the figure to the projected £5,000 bracket for non/low-earners)
if however you are employed part-time and are earning less than £5,000 then you're allowed to have personal earnings of upto £5,000 ontop of this. (i'm not sure why by i had it explained to me once)
from what i remember your second earning although your not working would be counted as a second (self)employment. Hense the tax break.
this is ofcourse provided you declare any of this, becuase in the UK they don't checkup - or atleast they didn't used to.
technically speaking selling software when your unemployed and claiming benifits is illegal, but if you pay your tax doing it for some reason its oki. (not that you pay as much as class1 bracket)
however alternatively you can apply to be self-employed ... this would mean you forfeit your benifits from the state, however this will allow you to earn upto £50,000 before paying tax.
(which isn't bad for £100 startup... but for that to work you'd need a good customerbase to start with)
it's pretty cool because your earnings shift from personal->business, and as long as you only pay yourself <£5,000 a year you not only get a tax break for your company earnings ... but also one for personal.
If you work from home you can write on the bills as company charges and pay them from the company account (same with new hardware & software)
even more interesting is that you can actually be self-employed whilst also having a full time job. As there are no laws against holding down more than 1 job, just as long as you don't work over the 72hr working limit.
there's also some rule about parttime workers who work less than 16hrs - they get taxxed per month per earnings ... so that way some months you can work more and be taxxed a lil and some months you take it ease and arn't.
they also give you more child benifits too, not sure why, just do.
the IRS in the UK's a good system for people who want to play it cause its got alot of loop holes and isn't checked much.
as for getting into the £50k bracket... it isn't worth it.
your talking 40% tax... you'd really be earning £28k, thats just for like the standard tax and not for all those lil extras like pension(haha better of 3rd party) and god knows what else.
i swear theres like a "pay for the current cabinate to go out on the lash" tax - sit there and read through it... looks like a CreditCard report when you let your mate use it.
$400 on a cucumber leg wax?! when the heck will i ever be that hungry? (probably when the pension i should be getting is rerouted through 20new agencies which somehow means i end up with just enough for 1tea bag a day and i feed that to my cat) lol
you remember that Asterix where he's doing those 12tasks for Ceaser... and they're in that place which makes you fill in 200forms which do nothing but allow youto fill out other forms.
thats what i feel the Taxing System is like.