You should make contact with the Inland Income and inform them that your new partnership exists. You are going to then be sent a partnership return, which you need to total. This can involve a partnership statement, which shows how profits and losses happen to be divided amongst the partners.

Just as a sole trader has unlimited liability for their organization debts, partners have unlimited liability for their home business debts, too. So if your partner accumulates small business debts without having your understanding, you’re also liable for them.