hobby business and bring registered.

redballoon_2

Hi. My husdand works full time. We have two children , 6 and 2 and we receive working tax credits which we couldn't live without currently.

I am thinking of setting up a small hobby business selling bits that I make but I'm unsure of the legal side and the implications for working tax .

Could anyone help?

I wouldnt be making a lot, but would have a couple of stalls a year so would be under the threshold for paying tax but want it to be legal and above board.

Thanks in advance for any replies.

soolin

You need to register with HMRC and send short accounts every year. You can apply so that you do not have to pay NIC and if your net profit per year is less than any personal allowances you have then there will be no tax to pay.

Al1x

Its really easy to register with HMRC, also whenever I have called them they are really helpful (total opposite of the tax credits people lol)

Make sure you keep all receipts for anything you buy for your business, you can keep simple records on a spreadsheet like excel then when it comes to filling in a tax return everything is there for you.