cash from ebay and tax credits!

welshcakes

PC madness, literally. I appreciate serial sellers are running a business and should quite rightly declare, but "Inland revenue and benefits officers already patrol the car boot sales down here" - what a costly and inefficient use of civil servants (though I bet they pick up some bargains, not that they'd declare it as conducting personal business on work time!).

What next - if you sell your car in Autotrader you have to declare it as taxable income?

Hapless_2

welshcakes wrote: »

What next - if you sell your car in Autotrader you have to declare it as taxable income?

Don't even go there, when we were living in Sussex we were called in to the DWP fraud office because we had sold a car and not declared the £400 we got for it, despite the fact that the money went to buy a bigger car that we needed. Although no action taken, it was a scary and stressful time. Some people just like reporting you for no reason for fun!

donnalove

LISAM696969 wrote: »

Voluntary Driving Is Not Voluntary , You Do Not Pay For Insurance For The Passengers You Carry , So If An Accident Occurs There Is No Public Liability And You Get Paid Over 33p Per Mile It Only Costs 12p Per Mile In Fuel So What Is The Rest For , And Also If It Is Volutary Then You Shouldn't Get Paid At All , Some People Are Trying To Make A Living From These Voluntary Car Schemes And I Know Several People Who Do , It Is Very Wrong , Voluntary Is Voluntary Not Oh Well Just Pay Me And It'll Be Fine !!!!

voluntry driving is voluntry, the nhs(that i volunteer for) has liability insurance, also if you check your insurance policy most include that you can do voluntry driving as long as you don't make a profit.

We have a set amount of miles we can do which is 10,000 at 40p.Any over that has to be paid at 25p, or be TAXED.set by gordon brown

you cannot make a living from voluntry driving it doesn't pay, the only way to do that would be to claim the 40p on excess milage and pay tax on it, this then would affect your insurance and you would have to take out buissiness insurance.

We have to put the petrol in and claim it back PETROL IS EXPENSIVE.

I AM ACTUALLY OUT OF POCKET THIS YEAR AS I HAVE HAD NEW CV JOINT, RECONDITIONED GEARBOX & NEW CLUTCH, 4 NEW TYRES, BRAKES, NEW WINDERSCREEN, WE ARE ONLY A QUARTER OF THE WAY THROUGH THE TAX YEAR. OUT OF THE £400 A MONTH I GET BACK £240 OF THAT IS MY PETROL BILL!!!!.
there is also servicing.

don't forget alot of the driving is town driving so therefore uses more petrol than a further distance.

Cute_'n'_Quirky

Fran wrote: »

A dealer is/should surely be self employed if they are earning a fair amount from ebay sales? They would be expected to pay tax if this was a regular income, so I would guess that IR would be very interested.

The IR are not interested, actually.

If you are selling your own belongings because you no longer want/need them you do not need to inform the IR at all.

There is a difference between selling personal belongings of which you may have one item of each to buying in and selling on to buyers on Ebay, which the IR would be interested in.

raq

I told the majority of our baby clothes and little one's clothes at christmas/january time as we where so strapped for cash as we didn't know how we could pay our council tax. Also made £80.00 on a boot sale. Todate I still sell on ebay and buy as it is much cheaper. These days there are a lot of people out there who simply can't afford to buy in the shops, even Tesco or Asda own brand.

Very difficult times for a lot of people

real1314

There are 2 issues to consider here (imo, and inae)...

1. trading: selling ones own used possessions is not trading. buying stuff with the exclusive purpose of selling on is trading. Some people think any ebaying is ok, but the fact is that IR and DWP monitor this sort of stuff. If you can show that it's just personal possessions, you'll be fine.

2. Capital Gains: Selling ones own used possession could attract capital gains. That's exactly what it's there for, however there are very few cases where a profit is made (rare records etc might be an exception) and what's more, the threshold is ober £8k per annum, so it's unlikely to be an issue.

Now, where might buying an Xbox360 new and seeling it on fit? Just like a car dealer buying at auction and selling on, whether through a garage or just small ads.

welshcakes

Perhaps it's just the way I feel the UK system is going but it seems to me that the tax and benefits systems are set out (though maybe not intentionally) in a way that penalises and causes immense anxiety for those of us who are already struggling and sincerely doing our best to manage.

Blimey, I would love to have the freedom to go into Asda and buy whatever I wanted for the weeks family shop. Thank goodness we have a freezer as a third of my usual groceries is yellow label!

The day-to-day reality is that those of us with no choice but to utilise benefits are under immense stress to inteprete and comprehend complicated HMRC (eg Tax Credit) rules.

Cute_'n'_Quirky

real1314 wrote: »

There are 2 issues to consider here (imo, and inae)...

1. trading: selling ones own used possessions is not trading. buying stuff with the exclusive purpose of selling on is trading. Some people think any ebaying is ok, but the fact is that IR and DWP monitor this sort of stuff. If you can show that it's just personal possessions, you'll be fine.

2. Capital Gains: Selling ones own used possession could attract capital gains. That's exactly what it's there for, however there are very few cases where a profit is made (rare records etc might be an exception) and what's more, the threshold is ober £8k per annum, so it's unlikely to be an issue.

Now, where might buying an Xbox360 new and seeling it on fit? Just like a car dealer buying at auction and selling on, whether through a garage or just small ads.

Capital Gains would only be involved if a profit were made on the initial purchase.

You also have a yearly allowance for CGT anyway, which most people would not go over when selling a few things on Ebay.

If you bought an xbox new and sold it on, it would be unlikely to make a profit, unless a set of xboxes were bought at discount wholesale prices.

I honestly think that mse encourages people to go overboard on tax issues.

raq

now that feeling. Yellow stickers just jumped out at me.

JayWalker

Norm wrote: »

you could always say that instead of donating the clothesto charity you were selling them and donating some cash instead.

you know what they say - charity begins at home !

good luck anyway

Careful! If you claim to have donated funds to charity and can't prove that you have, you can find yourself in all sorts of trouble. Scams based on people claiming they're collecting for charity and keeping the proceeds are (rightly) treated very harshly if they're discovered.

If someone is thinking of telling any official that they gave the money to charity, they'd better be able to prove that they did.