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taxadvisor.uk
taxadvisor.uk, Chartered Certified Accountant
Category: Tax
Satisfied Customers: 4996
Experience:  FCCA - over 35 years experience as a qualified accountant (UK based Practitioner)
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there I am earning extra cash of about 4,000 to 6,000

Resolved Question:

Hello there
I am earning extra cash of about 4,000 to 6,000 per year selling on eBay.
Do I need to declare this
Submitted: 2 years ago.
Category: Tax
Expert:  taxadvisor.uk replied 2 years ago.
Hello and welcome to the site. Thank you for your question.

If you are selling goods on eBay for a profit then you are trading and running a business.

You should register for self assessment as self employed and declare this income by filing a tax return.

You can register for self assessment online and I am providing a link where you can find more information on how to register etc.
https://www.gov.uk/register-for-self-assessment

I hope this is helpful and answers your question.

If you have any other questions, please ask me before you rate my service – I’ll be happy to respond.

Customer: replied 2 years ago.

But if I am 67 yrs old and do this for fun and found it helpfull and I am retired age can't I do this on the side.

Expert:  taxadvisor.uk replied 2 years ago.
Marion, thank you for your reply.

You may be doing it for fun and the fact it brings in extra income, HMRC view it differently.

Having said that, you may find that the actual profit after taking into account allowable business expenses is not that high. Furthermore, you may have unused personal allowance that you would be able to utilise against this income.
In overall terms say the net chargeable income is £1000-£1,500. Your exposure to income tax would be no higher then £300.

I would recommend you do more of it if it gives you enjoyment etc but please declare it as the consequence for non disclosure may be too costly with HMRC.

I hope this is helpful.
Customer: replied 2 years ago.

Hello yes we have 10.000 allowable personal allowance and this would cover it. But if I haven't declared any of the income from the pin money what is the worst they could do

Expert:  taxadvisor.uk replied 2 years ago.
Marion, thank you for your reply.

The worst scenario ....
- fixed penalty for not registering for self assessment as self employed;
- finesand penalty for not declaring income and filing tax returns
- interest on tax paid late if any

More information on penalties covering self assessment tax returns can be found here

https://www.gov.uk/estimate-self-assessment-penalties


I hope this is helpful.
Customer: replied 2 years ago.

A rival of mine on eBay has said he is going to the taxman about me Do you think he actually will

Expert:  taxadvisor.uk replied 2 years ago.
Marion, thank you for your reply.

If the rival says he intends to report you to HMRC then I would take it on board. HMRC would never reveal their source.

You have to ask yourself this question.. is it worth it?

My advice as a professionally qualified accountant is ..it's not worth it. Enjoy what you are doing and do it in open..

I hope this is helpful.
taxadvisor.uk and other Tax Specialists are ready to help you
Expert:  taxadvisor.uk replied 2 years ago.
I thank you for accepting my answer.

Best wishes
Customer: replied 2 years ago.

if someone has been paid half the owed money and a note to say I will pay the other half later Can that person after accepting the payment of half the money owed reject it

Customer: replied 2 years ago.

If one pays someone half the money they owe them and it is accepted Can that person say that if the rest isn't paid by a certain date that they will refund the money and the whole money will be a debt

Expert:  taxadvisor.uk replied 2 years ago.
Marion, thank you for your reply.

This is an unrelated question but I will try to help you.

If some makes a payment on account and the creditor accepts it, it would be normal practice to pursue the remainder unless the contract stipulates otherwise.

Returning the part payment and chasing for the whole debt could prove costly.

I hope this is helpful.
Customer: replied 2 years ago.

Yes again I thought that if one offers just one pound off a debt then this is acceptable but in this case it was £400 and I have paid £200 because of the slander he has placed on Facebook youtube and his own domaine site which stopped me paying him because he does not deserve this money as before the term of the ipo to appeal the case I had six weeks to the end to pay but this man started stealing photos and my designs and placed them on his Facebook site to ridicule me

Expert:  taxadvisor.uk replied 2 years ago.
Marion, if this man wishes to return the payment on account and then chase you for the whole amount he would have to make a small court claim. You would have a right to make a counter claim and offer your reasons for not paying etc.

I hope this helps.
Customer: replied 2 years ago.

Hello if a person is defaming me and harassing me on his twitter giving details of what he is going to do what is the law

Expert:  taxadvisor.uk replied 2 years ago.
Marion, thank you for your posting.

Not being a lawyer, I am unable to help you with this one.
It would be worth reporting it to the police.

I hope this is helpful.