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AIBU?

Share your dilemmas and get honest opinions from other Mumsnetters.

Original poster

To ask if you would report this

117 replies

sweetsweetlovin · 09/04/2018 21:32

My neighbour is an electrician. He isn't self employed and works for a company.

Anyway, I know his wife and she makes a joke out the fact that he earns a fortune doing homers and gets away with paying no tax. He earns decent money in his job but can do a couple of rewires a month as well as odd jobs. This can net him a few thousand extra per month. He has bought a van so he can do these homers on the side.

She jokes that the taxman will never find out and it affords them holidays, designer clothes and for her to be a sahm.

Now I have a really good job that I enjoy and my DH also has a good job. I know it shouldn't but it riles me that I am taxed at source on all my earnings and she's boasting about her husband dodging the taxman.

I can see why people would say stay well away and not report and I can see why others would report it.

WWYD?

Btw I have name changed for this.

OP posts:
needyourlovingtouch · 10/04/2018 19:25

What does homer mean?

snowy1982 · 10/04/2018 19:28

@melvinthepenguin, I can confirm the rules with you in a couple days if you’d like as I have them on notes from a course I attended in my office which I will be back in on Thursday. I am sure the amounts are reasonably small but the laws are there in the tax legislation

Jotribiani · 10/04/2018 19:31

Couldn’t agree more Ricebaby!!

snowy1982 · 10/04/2018 19:31

Actually just did a quick google, you can earn £1000 from self employment without declaring on tax return. Like the OP we have no idea if this man is earning above or below this threshold

GoodStuffToFind · 10/04/2018 19:32

It wouldn't cross my mind to report them. I don't care what anyone else does genuinely couldn't give a fig.

GoodStuffToFind · 10/04/2018 19:38

I agree with @RiceBaby - being a rat- no no no!

DullAndOld · 10/04/2018 19:42

why would you even think about doing that? what he is doing is perfectly normal.
HOnestly some of the posters here actually scare me, if their attitudes are an illustration of today's society, mentioning no names.

ConciseandNice · 10/04/2018 19:44

I hate people stealing from the treasury. They’re depriving our schools and hospitals of funds. It’s theft. And yes, I don’t pay for things ‘cash in hand’ to get cheap deals. I also pay thousands in tax myself every month and I am proud to. It’s being responsible and giving back. If you know for sure, report.

DullAndOld · 10/04/2018 19:46

" I hate people stealing from the treasury. They’re depriving our schools and hospitals of funds. "

sorry but if you actually believe that then you must be a bit simple.

Emma198 · 10/04/2018 19:51

Practically every tradesman does it. Yeah it's wrong cos they're not paying tax, but then it lets them charge less for jobs which benefits the people they're doing the work for. It's so common I don't find it shocking or surprising in the slightest and I think the only reason you want to report is because you're jealous.

Eggzandbacon · 10/04/2018 19:53

I am stunned how fraudulence isn’t picked up.

I know someone (wish I had reported) who did not declare their income for years properly. I always thought it would catch up with them (I don’t think they do it anymore).
But he was earning say £60k a year self employed tradesman and declaring £12k
It meant he wasn’t paying any tax but also as a family they were getting a fortune in family tax credits.

Thing was he was applying for a mortgage saying he earned £60k - I don’t know how the records don’t match up to catch these people.

I

SellFridges · 10/04/2018 19:58

I probably wouldn’t report, but make a point of using tradesmen who accept payment by bank transfer rather than cash when at all possible. I hate tax avoidance.

snowy1982 · 10/04/2018 19:59

@eggzandbacon, are you sure they were only declaring £12k a year or could they maybe have been trying to sound ‘smart’ by saying they were? A self employed person applying for a mortgage has to show accounts, tax calculations etc so I don’t see how that would have worked. Unless this was at a time when this info wasn’t required by banks

sweeneytoddsrazor · 10/04/2018 20:03

But in this case it isn't a self employed person. It is a tradesman doing jobs in his spare time. I imagine the vast majority of these jobs are for family and friends and he isn't earning anywhere near thousands, but yes probably enough to help with the cost of holidays. Presumably as it is helping her be a SAHM then that means there is a job available for somebody who may be on benefits otherwise, as to buying a van, most people who have to take tools to work have a van.

MelvinThePenguin · 10/04/2018 20:05

@Snowy1982 I stand corrected. There is indeed a £1000 trading allowance since April 2017. That will be useful to know for babysitters etc.

I disagree however, that the OP has no indication of whether the earnings exceed that. I don't think holidays, designer clothes and being a sahm are affordable on £1000. Or that a couple of rewires a month would come to less than that.

I'm not sure why my attitude to these things should scare anyone! Just do the right thing and you don't need to worry Hmm

milkysmum · 10/04/2018 20:05

I think nearly all do homers or "foreigners" as they are also commonly known. My husband is a bricklayer, he pays tax on his Monday to Friday job but there is often offers to do foreigners and I don't know a single tradesman who doesn't do these at least now and again.

MorningsEleven · 10/04/2018 20:06

Pretty much every workman I know does the odd wee homer for cash. Don't know how you could police it really.

FrangipaniBlue · 10/04/2018 20:08

My DH is a self employed tradesman and it's people like your being neighbour who take my DHs livelihood away.

Because your neighbour doesn't pay tax or have any overheads he will be charging a lower hourly rate than those doing it legitimately, effectively undercutting them.

Definitely not a victimless crime!

MelvinThePenguin · 10/04/2018 20:12

Oh and the bit where OP says "this can net him a few thousand extra per month". That's a bit of a giveaway that he's over the £1000 limit.

UtterlyDesperate · 10/04/2018 20:18

Thing is, Amazon and other corporations pay the tax they owe under the current laws - you might not think that is sufficient, but they aren't breaking the law. Your neighbour is. And someone stealing from the state is stealing from us all. I have no moral problem with someone reporting tax evaders to HMRC to investigate but then, I believe that laws are in place for a reason. Those going on about Amazon/the 1% are indulging in whataboutery at its finest Hmm

snowy1982 · 10/04/2018 20:21

But OP doesn’t have a clue what these jobs actually earn the man, none of us do. The wife might be trying to make them sound better off than they are or the OP might be exaggerating. All I’m saying is that no one except the man under discussion knows how much he is actually earning

Bel04 · 10/04/2018 20:23

I think you should report it. At the end of the day it's not like he's resorting to dodging taxes to feed his family. You're talking about them bragging about his wife not having to work and them buying designer clothes.

At present you are basically paying for his and his families healthcare etc. It's not fair. I think you have a responsibility to atleast bring it to the attention of HMRC and then it's their responsibility to investigate and obtain taxes from him. Don't worry, you can do it anonymously.

DullAndOld · 10/04/2018 20:26

" At present you are basically paying for his and his families healthcare etc"

no she isnt, she is paying for her own family, just like this person is.
Honestly I blame Thatcher for this generation of 'dob in your neighbour because they had a nicer holiday than we did' , aholes.

sweeneytoddsrazor · 10/04/2018 20:26

How is the OP paying for his healthcare, the man has a job he is not self employed so he does pay tax

Bel04 · 10/04/2018 20:34

@sweeneytoddsrazor NHS is tax funded..