Submitting tax return

robindunne1

Like a lot of people I trade on Ebay as a hobby and make a couple of quid as well. Things have been going pretty crazy lately and profits are increasing all the time. However, my wife doesn't work and I reckon I make below what her tax allowance is.

I'm plannig on putting the profits in her name to avoid paying tax, but I'm not sure what forms I need to fill out.

Anybody know how I would go about it????

HairyHatMan

Just get her to ring the IR. They'll send you all the forms you need (not much at this stage). They'll want a date you started trading. Unfortunately, if that's more than 3 months ago, they can fine you £100.

I hope you've kept receipts for eveything, ebay invoices, paypal invoices etc etc.

tentickles666

if its only a hobby is it really worth declaring? just a thought, suppose it depends on how much you are making.......

motorguy

if you are going to try to run it as a business i'd declare it. these things can come back and haunt you in the future especially as everything is logged in ebay.

Why not set her up with a new id and trade the business under that id? therefore its a fresh business startup? it would save complications of receipts from the past you probably don't have any more?

The tax man has the right to know about everything you make, and as a wiser man than me on here once said if you're selling new items you're probably a trader making money - hobby or not you're still making a profit which you must declare.

There are loads of tax benefits too don't forget - you can have an 'office' in your house - a spare bedroom perhaps which you can charge yourself rent for, telephone line, probably a pc, that sort of stuff, which can all be used to offset your tax liability....