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should he be registered self employed?

10 replies

IneedAgoldenNickname · 07/09/2012 00:08

Hi. I hope someone here can help me. My ex lost his job a couple of months ago, and therefore stopped paying me maintenance. (prior to this he had always payed, although went through phases of moaning at me to get a job so he could stop paying it as I was apparently ripping him off [Hmm] )

Anyway he has spent the last week posting on Facebook that him and his mate have set up a garden clearance/decorating company. They have got business cards printed, set up a Facebook page etc. I asked him if he has registered self employed, to which he replied 'why would I have done that?'

Well surely he IS now self employed? Or is he not as they have only had 1 job so far? I'm just worried that he won't declare his income, which is not only avoiding tax, but also means he can pretend he's earning Pennies and not pay me what he should.

So basically should he be registered self employed our not? And of not how do I ensure he pays me weekday he should? Thanks

OP posts:
BettySuarez · 07/09/2012 00:37

Yes he should be registered as self employed although I believe he has in the region of three months from the date he first started trading to inform the Inland Revenue.

Maybe you could be really helpful and do the registration for him Grin

IneedAgoldenNickname · 07/09/2012 00:50

Lol maybe I should do just that! Grin now I just need to work out how I convince him to register, I think I have to pretend it's concern for him, 'I'm worried you'll get caught for tax evasion' or something.

Thanks

OP posts:
riksti · 07/09/2012 07:46

You mention the word 'company'. If they're working through a company he doesn't need to register as self-employed.

Bilbobagginstummy · 07/09/2012 07:55

Yes, if there is a company and if he is an employee of that company then he's not self-emplyed. But he would then have to deal with all the company admin, which is much more hassle!

Re getting maintenance paid - there may be a better board to post that question in.

Tee2072 · 07/09/2012 08:13

But if he and his buddy set up the company, they need to register the company.

booflebean · 07/09/2012 08:36

You get fined if not registered within 3m.

IneedAgoldenNickname · 07/09/2012 08:39

Thanks everyone. Re the 'company' it's one him and his mate have set up. "x and y house and garden clearance" or something like that.

OP posts:
booflebean · 07/09/2012 08:50

If it isn't a proper ltd company then he/they have to register as self-employed. You can search on companies house website.

If it isn't ltd then they are just using a "trading name" but are self-employed in the eyes of HMRC (and the law).

Wordsmith · 13/09/2012 12:42

If he is working as an employee of the company he has set up (ie if it is a limited company, XYZ company Ltd.) then he is an employee or a company director. If he and his mate have just called themselves XYZ company and are not limited, then he is a sole trader and self-employed. It will make a difference as far as HMRC are concerned, but whatever, he is NOT unemployed. Can't believe that he would have business cards and Facebook page etc set up and be trying to dodge tax at the same time. Is he invoicing clients or doing it all cash in hand, no questions asked?

bacon · 14/09/2012 16:51

Prob taking cash - no receipts, Also he should be insured too!!! We run a landscape/groundworks business and you need to be covered by a good insurance policy.

This is a partnership not sole trader. He needs a UTR number.

God help him, has he any qualifications or experience? I'll be on watchdog next! He prob wont be making any money either - waste of time!

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