Do you pay tax on Avon Earnings

binnie

Hi, I was thinking about doing Avon for some extra cash.
I work 30 hours a week for £5.77 an hour and already earn above the £6,000 limit.
If I just want to purchase Xmas pressies, or stuff for myself from the Avon catalogue with my commission, do I still have to pay tax?
I was only thinking of doing it for a short while, but not doing it for the money to keep, but to buy xmas pressies with?

Thank you

fengirl_2

Commission earned on sales for the use of you and your immediate family is not taxable. Commission earned from sales to other people is taxable, no matter what the commission is spent on.

lozza1985

Technically speaking - we don't get commission on sales, rather we get a discount on the products bought from avon.

So if you are only going to buy products for yourself or gifts - then you won't need to pay tax, as you haven't earnt anything - but if you sell the goods to customers then you will, as you will have earnt money from doing this. We basically are buying products from avon at a discounted rate, and selling them on at the brochure prices, the difference in prices is where we make our money - so if you are only buying for personal use then you'll be fine.

One thing to bear in mind - is that if you do sell avon - you will only pay tax on your profits - so if you do take it up, just keep a note of all your costs, in order to work out your profit.

GavB79

binnie wrote: »

not doing it for the money to keep, but to buy xmas pressies with?

Well I don't work my day job to keep the money, I do it to pay the mortgage and bills with. So if I'm not keeping it, can I not the pay the tax please??

scotsbob

GavB79 wrote: »

Well I don't work my day job to keep the money, I do it to pay the mortgage and bills with. So if I'm not keeping it, can I not the pay the tax please??

You beat me too it mate, I was just going to make a similar comment.

Let's not pay tax on any money we spend on Xmas presents :rotfl: