Kufflink P2P lending chat thread

Shedman

bluenun wrote: »

I see what you are saying Masonic but as the referee I would assume the tax statement that Kuflink will send me after 12 months will only make note of my £500 deposit, £100 cashback and the interest I receive.
They will not be aware of the £75 I received from the Referrer.

In my view the £75 you received from the referrer was a gift (assuming you mean where somebody posted a referral code and you used it, you got £100, they got £100 and gave you £75 of it). Their £100 is taxable as Other Income for their tax affairs (although there does seem to be some differences of opinion on this but I personally am treating them as such) so potentially they get £100 from Kuflink for you using their code, give you £75 of it but then have a £20 tax liability so net gain for them is possibly only a fiver ( or if a higher rate tax payer then a loss of £15)

Your £100 from Kuflink is not taxable (as I understand it from various discussions on tax forums as it is not commission as such ) and the £75 you received from the third party is also not taxable (they had no contractual obligation to give you this ipso facto its a gift).

EDIT obviously crossed with Narge's reply which is on the same lines

bluenun

Thank-you all for the answers.

I am new to filling in self assessment forms, last year was my first.
I never want to get in trouble with HMRC and want to do things 100% correctly so that in future I am not contacted by them out of the blue saying I should have declared the £75 referral money.

Any interest I receive in May 2019 would need to go on the 2019/2020 self assessment form.

If the referral money was taxable it would need to go on the 2018/2019 form, and for the sake of £15 tax and peace of mind I may include it as other income. Actually, I am well below the earnings threshold of £11850 for paying tax anyway.

Alexland

Today received the below email but I can't login to play with it as their website is down for maintenance.

The Kuflink secondary market is here!

Our team of tech whizzes have been working hard behind the scenes for months to bring you a brand-new marketplace, where you’ll be able to sell your investments and purchase new ones from your fellow lenders.

Many of you told us that you wanted to see a secondary market on offer here at Kuflink, so we hope you’ll enjoy using it as much as we’ve enjoyed building it!

Simply log in to your account and select the ‘Secondary Market’ option on the drop down ‘My Investments’ tab to get started.

Nardge

Alexland wrote: »

Today received the below email but I can't login to play with it as their website is down for maintenance.

Yes, I received the same e-mail -

New secondary market, "0.25% transaction fee, to sell whole loan parts" only apparently...

masonic

Nardge wrote: »

New secondary market, "0.25% transaction fee, to sell whole loan parts" only apparently...

Wow, that's steep.

Snow_Dog

I have had a spinning circle for the past half hour telling me im logging into the site. Reckon its broken.

taylornj

Snow_Dog wrote: »

I have had a spinning circle for the past half hour telling me im logging into the site. Reckon its broken.

I had that for a while I did manage to get in.


I didn't receive an e-mail notify me of interest payment, but logged in to find the interest had been paid how ever it didn't display the individual interest payments, and logged me out. Tried again and show individual interest payments on the loans.


Look at Secondary Market disappointed to see at par only, and 0.25% fee for selling.


Only have £510 in loans, so will just wait until these are repaid and exit Kuflink.


Was going to withdraw the interest but with the issues seen I'm waiting, as I recall they aren't very quick anyway and not sure about weekend processing of withdrawals, maybe will try Monday.

Nardge

Masonic -

Following on from our previous discussion on this thread

"Referrer referral bonuses (treated as an 'annual payment' or 'other income' in most cases), are taxable,
though again are not included in the PSA"

Where the Referrer Referral 'reward' comes as e.g. Amazon Vouchers in lieu of Cash,
I'm assuming that such Vouchers are an instance where the Referrer referral is obviously non-taxable?

With Kind Regards

Shedman

Nardge wrote: »

Masonic -

Following on from our previous discussion on this thread

"Referrer referral bonuses (treated as an 'annual payment' or 'other income' in most cases), are taxable,
though again are not included in the PSA"

Where the Referrer Referral 'reward' comes as e.g. Amazon Vouchers in lieu of Cash,
I'm assuming that such Vouchers are an instance where the Referrer referral is obviously non-taxable?

With Kind Regards

Why do you think the fact that its Amazon vouchers as opposed to cash make a difference? The Amazon vouchers have a cash equivalent value - £25 Amazon voucher is still £25.

In the good old days if you got given more than 15p a day Luncheon Vouchers (I know..showing my age) then you were still taxed on the excess regardless that they were vouchers

Nardge

Shedman wrote: »

Why do you think the fact that its Amazon vouchers as opposed to cash make a difference? The Amazon vouchers have a cash equivalent value - £25 Amazon voucher is still £25.

In the good old days if you got given more than 15p a day Luncheon Vouchers (I know..showing my age) then you were still taxed on the excess regardless that they were vouchers

Hence why I was asking Masonic for his knowledge...

If vouchers, these might have been 'coded' differently as 'Cashback' or similar by the P2P or other company in relation to HMRC classification, especially since HMRC are hardly going to ask us to forward a £5 or £10 Amazon Voucher as taxation... and they can hardly ask for money in lieu...

Ultimately I'm aiming to understand all the subtleties and nuances (like you), so as to save time in future!

With Kind Regards

P.S. I have found Masonic useful, helpful, and knowledgeable. He always appears to know what he's talking about