do i need to fill in a tax return?

declan37

Hi hopefully Im in the correct category, years back i was self employed and started up my own online business selling clothing products , I stopped trading about 5 years ago as it was not making me any money, and i had loads of stock left over. I then just got a regular job as an employee.
A friend of mine started their own online business about a year ago and to help me out not to loss any money on my old unsold stock buys it when they need it at the cost i paid for it. i had a loan out for this old stock which i am still paying off with the money they give me and off course some of my own.
Basically i want to know is as im selling them my old stock at the price I bought them at just to get some money back which adds up to about  £1,000 TO £1,500 a year do i have to fill in a tax return form or as im not making any profit as i still am using any money to pay of the loan is it not counted.
Any help would be much appreciated.

Thank u D

Pennywise

How did you account for the stock on your final tax return when you ceased trading?

declan37

I sold the business name on to another company but they did not want the stock. my accountant sorted it all out so not sure as its now over 5 years ago and the old stock was just in my spare room in the house which i intended to sell at a market  but as i say a friend has now started to buy the old stock at cost price to try and help to pay the  £10,000 loan as i remortgage my house to start the business at the time , i pay off  every month as it shows on my mortgage as 2 loans

J_B

Not sure but if you did do a tax return, could you offset the interest against your non-profit to reduce your tax liability???

Pennywise

declan37 said:

I sold the business name on to another company but they did not want the stock. my accountant sorted it all out so not sure as its now over 5 years ago and the old stock was just in my spare room in the house which i intended to sell at a market  but as i say a friend has now started to buy the old stock at cost price to try and help to pay the  £10,000 loan as i remortgage my house to start the business at the time , i pay off  every month as it shows on my mortgage as 2 loans

You need to find out what was on your last tax return.  Don't you have a copy?  If the stock was adjusted for at cost, then as long as you're selling it at cost, you've nothing to declare as no profit/no loss.  If, however, the stock wasn't adjusted and effectively written off as zero, then you will have a profit and may need to declare.

declan37

Will do, thank you very much for your help, much appreciated. if adjusted for cost then anything i sell to my friend at cost i have not to declare, if stock was not adjusted and was written off at zero then i might need to declare as it will be profit.
Once again thank you, just needed some guidance but will contact my accountant at the time to make sure.