Selfbuilding while selfemployed tax advice please

Woodhouse_2

Please advise if you can:
I am self-employed but have not earned anything in this taxyear. I have been paying taxes since 1994 as a self-employed builder since 94.The last tax year I was building my own house, to live in not to sell on. I was given £32.000 by my German parents (they are not likely to die in the next 7 years) to live on and finance some of the materials. How do I declare this? A gift a loan?
Any advice very much appreciated. My parents checked in Germany they don’t have to declare the money there...

norm_diploom

I don't know enough to advise you, but have done self build and wish you well!

You may have better luck on one of the pure money fora, for example the saving and investing board, where there are plenty of knowledgeable types. Perhaps a moderator could move it for you?

I don't see why you should have to declare it at all, although if you are earning interest over the tax threshold or claiming any means tested benefits then that may be different.

oilit

Woodhouse wrote: »

Please advise if you can:
I am self-employed but have not earned anything in this taxyear. I have been paying taxes since 1994 as a self-employed builder since 94.The last tax year I was building my own house, to live in not to sell on. I was given £32.000 by my German parents (they are not likely to die in the next 7 years) to live on and finance some of the materials. How do I declare this? A gift a loan?
Any advice very much appreciated. My parents checked in Germany they don’t have to declare the money there...

that depends if it was a gift or if it was a loan. if it was a cash gift I suspect you know the answer - if in any doubt speak to an accountant

Wings_of_Ambition

Hi, Martin’s asked me to post this in these circumstances: I’ve asked Board Guides to move threads if they’ll receive a better response elsewhere(please see this rule) so this post/thread has been moved to another board, where it should get more replies. If you have any questions about this policy please email [EMAIL="abuse@moneysavingexpert.com"]abuse@moneysavingexpert.com[/EMAIL].

fengirl_2

There is no gift tax in the UK and the recipient of a gift is never liable to tax on it. I assume you have paperwork from your parents to show HMRC if challenged.