Is this OK?

Mrs_pbradley936

The chap that does a bit of maintenance for us since my husband can't do as much these days is de-registering for VAT. The account I pay him into is a personal not a business account. He has asked if in future I can pay his wife because she only works part time and this will keep her under the tax threshold. I don't mind doing it if it is legal. He invoices me on an as and when basis and wants to keep that but for me to pay into his wife's account. 

Would it be OK if he and his wife had a joint account? It is just his at the moment. That way I would still be paying him if there are obstacles in paying his wife. Then it is up to them how they go about allocating it between them.

The amounts we are talking about are £300 or so pounds every 3 or 4 months. I would like to be cooperative but not do anything that is not legal.

apw81

It’s fine. He gives you an invoice, he gives you his accepted payment methods, you pay, you’re done. Whatever happens after that isn’t something to trouble yourself with. Any creative accounting he wants to undertake is entirely on him. His wife will, of course, need to submit a self assessment tax return for her new source of income, but whether or not she does will not affect you in any way. 

Mrs_pbradley936

Thank you!

martindow

I agree with apw81 up to a point, but we all know that he is avoiding payment of tax and it is up to us whether we want to collude with this.  As a customer we perhaps get a cheaper price, but his competition playing by the rules are disadvantaged.

No one is eager to pay tax, but we all rely on public services that need to be paid for ...

andrew_tovey87

My advice is, don't make their problems your problem. Pay the invoice as per his instructions, and let him worry about any repercussions.