How much would you pay for a homemade wreath?

Kevie192

Yes she will. ANY income should be declared, no matter how small.

It's irrelevant anyway. Even if she doesn't my opinion is the same. Even less money will be made if she doesn't declare it and gets a fine

Mrs_Bones

If you are selling items for a profit and more than covering the cost of what you use or/and are advertising that you sell, then you need to register with HMRC as soon as possible and at least with 3 months of starting to sell for profit. That does not neccesarily mean you will have to pay any tax.

It's unlikely selling a few wreaths at holiday time will vastly effect the tax she already has to pay and it could be she won't have to pay any at all if she is in total still under the yearly allowance limited but that doesn't change the fact you need to register. It's not difficult and even filling the yearly self assessment is really simple on line. I fill it in for my cousin but she's never had to pay anything yet. All she does is hobby related, selling a few craft items and occasionally doing a bit of teaching, it's not enough to pay tax on but it's much better to be registered so everything is legit and above board.

poet123

Kevie192 wrote: »

Yes she will. ANY income should be declared, no matter how small.

It's irrelevant anyway. Even if she doesn't my opinion is the same. Even less money will be made if she doesn't declare it and gets a fine

What rubbish. How do you know she works...and it is the equivalent to selling on Ebay. Who declares that unless they are a viable business seller?

Kevie192

It is not the same as selling your unwanted items on eBay. The key is intent. If you buy an item with intent to sell it on, even if you don't end up making a profit, you need to register and declare it no matter what platform you are using to sell it. Perhaps you should have a look around the HMRC website for clarity?

I don't know whether she works or not. How do you know she doesn't? As I said, it's irrelevant as she still would make next to nothing even if she wasn't paying any tax.

OP, I am sorry poet123 seems to have jumped on the bit about tax. Just keep it in mind I hope you have a great time making and selling the wreaths.

Kevin

poet123

Kevie192 wrote: »

It is not the same as selling your unwanted items on eBay. The key is intent. If you buy an item with intent to sell it on, even if you don't end up making a profit, you need to register and declare it no matter what platform you are using to sell it. Perhaps you should have a look around the HMRC website for clarity?

I don't know whether she works or not. How do you know she doesn't? As I said, it's irrelevant as she still would make next to nothing even if she wasn't paying any tax.

OP, I am sorry poet123 seems to have jumped on the bit about tax. Just keep it in mind I hope you have a great time making and selling the wreaths.

Kevin

Exactly, you don't. So why shoot her down with mention of tax?

Kevie192

I didn't shoot her down at all, I was merely mentioning it. Why don't you go and pick on someone else ?

Mrs_Bones

Ebay is one of those grey areas Poet. If you are only selling things second hand to get rid of them and not aiming for profit then the tax office won't be interested in you. If on the other hand you are either selling handmade items or buying stuff say at somewhere like a car boot or at cheap prices then selling on for a profit. The onus is then on you to register with HMRC.

I'm afraid I've just not got that much trust in my fellow man. There is always someone somewhere that likes to create malicious mischief. Now some people don't mind taking that risk, personal I've always thought it's better as far as tax goes to stay legit and then no one has anything over you to cause you any problems. It's really not a big deal to register so I don't see why it would cause a problem.

poet123

Mrs_Bones wrote: »

Ebay is one of those grey areas Poet. If you are only selling things second hand to get rid of them and not aiming for profit then the tax office won't be interested in you. If on the other hand you are either selling handmade items or buying stuff say at somewhere like a car boot or at cheap prices then selling on for a profit. The onus is then on you to register with HMRC.

I'm afraid I've just not got that much trust in my fellow man. There is always someone somewhere that likes to create malicious mischief. Now some people don't mind taking that risk, personal I've always thought it's better as far as tax goes to stay legit and then no one has anything over you to cause you any problems. It's really not a big deal to register so I don't see why it would cause a problem.

If it was a 52 week business then yes, tax may be applicable. We are talking about Xmas wreaths, I doubt there could be a more finite market. How long is that window open? If she sells 25 she is not liable for tax if she is not working. I think encouragement is what the OP needs not obstacles.

Mrs_Bones

poet123 wrote: »

If it was a 52 week business then yes, tax may be applicable. We are talking about Xmas wreaths, I doubt there could be a more finite market. How long is that window open? If she sells 25 she is not liable for tax if she is not working. I think encouragement is what the OP needs not obstacles.

Poet length of time does not come into it. No one is trying to create obstacles for the OP and from what I've read most have been encouraging her in the idea. All I and others have done is point out a legal aspect regarding tax. If you and potentially the OP wishes to ignore it, that is entirely up to you. As I've already said, registering does not automatically make you liable to pay tax. It does how ever mean you are operating with in the law.

shoei

Thanks for all you advice guys, I think I will go for about the £20 mark. I know the florists locally charge around £25 hence starting to do my own!