Do I have to do a tax return?

(15 Posts)
PenguinBear Sun 12-Oct-14 18:54:13

I started doing Phoenix trading last year.

I only do it very part time (I have about £300 worth of stock but only sell occasionally to friends and family) because I work full time as a teacher.

Do I have to do a tax return? I barely make any money from it and am not really an active trader although have still kept my membership open.

If I do a tax return will they charge me money? (I haven't for a penny spare to pay them!)


OP’s posts: |
PrimalLass Sun 12-Oct-14 20:03:05

Are you registered as self employed? You should be.

PenguinBear Sun 12-Oct-14 20:38:22

No. Didn't even realise I had to do that! blush <needs to do better research>

OP’s posts: |
Hoppinggreen Mon 13-Oct-14 12:03:09

Yes you do and you need to register as self employed.
Normally with so little income from the business tax wouldn't be an issue but it may be that because you have other earnings as well you need to pay tax on this as well since tax is assessed on ALL earnings.

PenguinBear Mon 13-Oct-14 15:37:04

Okay thanks. Sounds like it would just be easier if I quit! smile

OP’s posts: |
Numbers123 Tue 14-Oct-14 18:28:56

If you have made a loss though (which sounds like you have) in your business on the side, you can claim part of that loss back against your paye tax you've paid in the previous three years so might be worth considering

PenguinBear Tue 14-Oct-14 18:39:49

I have no idea how to do any of that. Wouldn't I just get penalised for not registering in the first place? blush

OP’s posts: |
Hoppinggreen Wed 15-Oct-14 14:06:50

You would have to register to claim a loss.

TalkinPeace Wed 15-Oct-14 21:38:48

Idiots guide to self employment at your service

Numbers123 Thu 16-Oct-14 17:56:03

Yes you would have to register to claim the loss and depending on when you became self employed (recognised as date of first sale) you may receive a £100 fine but don't come across many people getting them to be fair...great detailed guide there :-) TalkinPeace but didnt see anything about losses in it (although didnt read in huge detail so please correct me if wrong)

TalkinPeace Thu 16-Oct-14 19:48:59

Losses are covered a bit in the section about HMRC refusing to register self employed people who will always make a reclaim

but indeed, I'd always assumed that ebayers (for whom it was written) would make a profit!

Numbers123 Thu 16-Oct-14 21:18:34

That makes sense but in reality, a lot of self employed people in their first year at least will make a loss (although agreed ebayers should be profiting) but personally I think it is important point to have in a guide about self employment (although many don't mention it) :-)

TalkinPeace Thu 16-Oct-14 21:25:25

could you pop a comment onto the blog for me of what you'd like added in and when I do the next revamp (I do one about every 6 months) I'll include your points grin

Numbers123 Fri 17-Oct-14 18:36:28

Will do - think it is a very helpful resource, love the part about choosing an accountant, great advice :-)

TalkinPeace Fri 17-Oct-14 19:22:43

Glad you like.

Because I give advice for free under this name I keep it strictly separate from my real business.
The best place to find an accountant online is the UKBF
but really nothing beats personal contacts (it makes the MLR files easier for the accountant too)

The page was the combined effort of lots of accountants who used to frequent the ebay boards on a Friday night - I'm not precious about it - I just edit and host it.

all feedback welcome
and it will evolve now that it is no longer stored on ebay

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