Online Survey Income and HMRC

Jayn_2

Hi All,

In the last week I have joined two survey/reward sites in Swagbucks and Clixsense and am nearing the payout mark (one will be by Amazon gift voucher and one via PayPal).

I am currently under my tax allowance and this wouldn't push me over but do I need to declare this to the HMRC? If so where too? As the only place I can find on the website is the link below and that seems a bit full on for something like this:

online.hmrc.gov.uk/registration/newbusiness/introduction

I'm only 18 so sorry for the newb question.

Thanks.

00ec25

as long as your total (pre tax) income between 6 April 2014 and 5 April 2015 (ie the current tax year 14/15) is less than £10,000 (ie the personal allowance) then you do not need to declare such earnings

if you go above £10k then you would simply phone or write a letter to HMRC using the contact us details , and they would (probably) collect any tax due bu adjusting your tax code (if you have a PAYE job). You certainly would not need to register as a self employed business (the page you linked to) nor would you need to fill in a formal tax return - the criteria for when you must do a tax return if you do not have a PAYE job are, in summary:
http://www.hmrc.gov.uk/sa/need-tax-return.htm
If you don't pay tax through a PAYE code you’ll need to complete a tax return if all of the following apply:
- you have income to declare, for example income from savings, trusts or abroad, rental income from land or property
- your total income exceeds your total allowances and reliefs
- you have tax to pay on this income

Tan.

Just discovered this:

hmrc.gov.uk/manuals/eimanual/EIM11845.htm
(put the http in yourself, I'm not allowed to post links yet.)

So income tax is not payable on voucher earnings, but is on cash.
Although most people seem to think it's not necessary to register as self-employed, I haven't been able to clarify this through HMRC website.

This *might* explain the discepancy between PayPal earnings and voucher payout on MySurvey:

If you pay tax on PayPal earnings:
575 points gets you £5 PayPal = £4 NET
550 points for a £5 voucher = £5

PayPal cost: 143.75 points per pound
Versus vouchers: 110 points per pound

Mallotum_X

Tan. wrote: »

Just discovered this:

hmrc.gov.uk/manuals/eimanual/EIM11845.htm
(put the http in yourself, I'm not allowed to post links yet.)

So income tax is not payable on voucher earnings, but is on cash.
Although most people seem to think it's not necessary to register as self-employed, I haven't been able to clarify this through HMRC website.

This *might* explain the discepancy between PayPal earnings and voucher payout on MySurvey:

If you pay tax on PayPal earnings:
575 points gets you £5 PayPal = £4 NET
550 points for a £5 voucher = £5

PayPal cost: 143.75 points per pound
Versus vouchers: 110 points per pound

The discrepancy is more likely to do with the discounted cost the company will pay for the vouchers, compared to paying out cash.

laticsforlife

Also I'm not sure the description of voucher means a cash voucher, rather one for goods.

But in all honesty, you are never likely to make enough from this activity to worry HMRC, as even sat at home you would incur some costs (some flat rate simplified expenses to set against it).

It is what used ot be called incidental earnings (i.e. not worth chasing, a bit like car boot sellers before they went all professional)