Tax return - How to declare for currency other than GBP

Marvqn1

When you fill in your tax return for the HMRC, in the part where you have to declare your income, what do you put if some of your earnings are in USD or Euro's as you have to declare the amount in GBP.

I know there are currency converter tools online, but the exchange rate regularly fluctuates, so it won't be the same exchange rate as when the payment was recieved.

fewgroats

It enters my account as GBP, it is therefore GBP.

Marvqn1

fewgroats wrote: »

It enters my account as GBP, it is therefore GBP.

Is that PayPal?

In PayPal, I only see it as USD.

ANGELFLOWER

When you withdraw it to your bank account Paypal convert it to GBP. This is the amount you then declare.

Marvqn1

ANGELFLOWER wrote: »

When you withdraw it to your bank account Paypal convert it to GBP. This is the amount you then declare.

The thing is, I don't withdraw it to my bank.

Is that the only way to know the right amount to declare?

ANGELFLOWER

Until you withdraw it you don't know how much it is as it hasn't been converted to GBP, as like you say the conversion rate keeps changing. So yes you should withdraw it.

cinereus

Marvqn1 wrote: »

The thing is, I don't withdraw it to my bank.

Is that the only way to know the right amount to declare?

Spot rate on day received: http://www.x-rates.com/average/?to=GBP&from=USD

Marvqn1

cinereus wrote: »

Spot rate on day received: http://www.x-rates.com/average/?to=GBP&from=USD

Thanks.

1. So does the exchange rate only ever change once per month?

2. Once I know the correct exchange rate, where do I enter this to calculate the amount? The conversion tools I've seen use the current exchange rate, so don't have an option to enter a rate manually.

cinereus

Marvqn1 wrote: »

Thanks.

1. So does the exchange rate only ever change once per month?

2. Once I know the correct exchange rate, where do I enter this to calculate the amount? The conversion tools I've seen use the current exchange rate, so don't have an option to enter a rate manually.

1. This gives average rate which I'd say is close enough. You might even get a daily breakdown on that site too which is definitely close enough.

2. You do it yourself with the amazing tool called "multiplication".

Bearly

You can convert the money to GBP in paypal as well if you don't want to withdraw it.

Marvqn1

Bearly wrote: »

You can convert the money to GBP in paypal as well if you don't want to withdraw it.

How do you do that?

I only see it in GBP for the overall balance, not for individual transactions.