More tax than legal. A shooting related tax problem.Any accountants out there?

liongeorge

Well-Known Member
Over the past year I have been controling the rabbits on a large ex MOD armaments depot that is now used as industrial. The owner over the past year has paid me £1000 by company cheques for which I have given him invoices explaining that the money is to cover expenses (which this amount has probably just covered).
I am not a proffesional pest controller and have a full time job. Do I have to declare this money to the tax man? or should I keep schtum about it as I do with my carcass money.
Maybe the next step is to declare it but as part of the bigger picture of my other sporting expenses (ferret food, deisel, landrover bulletts , dog food et etc etc etc......) but this seems like a hell of alot of hassle

Any opinions appreciated. I
 
Just change your name to Rednapp and the jurors will believe any cock and bull story
 
I guess if they're paying you, then the safe thing would be to declare it as a "sole trader". This involves filling out your self assessment tax return, which, to be honest is pretty straightforward. In your case, you'd just have to fill out that you were paid 1000 pounds and then in the expenses part you can put all your expenses. Hopefully, your expenses will be more than 1000 pounds, so you'll pay nothing in tax. Of course, if you made a profit you would have to pay tax on that on top of your PAYE.
 
If you did go the Sole Trader route, which is probably advisable, there's not a cat in hells chance you'll pay any tax with the little amount you're making. Factor in vehicle expenses, vehicle depreciation, fuel, tyres, ferret food, dog food, washing machine etc etc etc they'll easily outweigh the possible tax payment. But if I were you and not planning to get any bigger, don't bother declaring it.

Tom
 
Unfortunitally if you do not declare it in full and claim for cost of foor etc and tax man comath then they will say you have been doing it for years and earning 4 times that each year and tax you accordingly and you will have to prove otherwise. few years ago an exwife wrote to tax office say I had been doing jobs for cash they would have taken the house if I had one!!!!. cover your arse and send a breakedown of your expenses in detail
 
Unfortunitally if you do not declare it in full and claim for cost of foor etc and tax man comath then they will say you have been doing it for years and earning 4 times that each year and tax you accordingly and you will have to prove otherwise. few years ago an exwife wrote to tax office say I had been doing jobs for cash they would have taken the house if I had one!!!!. cover your arse and send a breakedown of your expenses in detail
+1 Sound Advice
 
been self employed, been sole trader, had (still have) my own ltd. Co. been employee, etc. etc....for that amount of money, trust me, do NOT bother declaring it to the tax man!
 
Unfortunitally if you do not declare it in full and claim for cost of foor etc and tax man comath then they will say you have been doing it for years and earning 4 times that each year and tax you accordingly and you will have to prove otherwise. few years ago an exwife wrote to tax office say I had been doing jobs for cash they would have taken the house if I had one!!!!. cover your arse and send a breakedown of your expenses in detail


+ 1 I agree.
 
Remember that free professional advice is worth every penny you paid for it! If you do end up talking to the tax(wo)man, avoid use of words like "sporting". Whether you decide to tell HMRC or not, keep all relevant expenditure receipts (and household stuff like phone bills etc is relevant).
 
If you're being paid by cheque, then presumably the money goes into your account, which the tax man can follow up on. A tax return would, in your case, probably take an hour to fill out. It's not much for the peace of mind.
 
Here is a really novel idea, instead of asking us deer stalking tax experts why not just ring up HMRC and ask them, they are actually very helpful.
Cheers
Richard
 
Hopefully, your expenses will be more than 1000 pounds, so you'll pay nothing in tax. Of course, if you made a profit you would have to pay tax on that on top of your PAYE.

And if you make a loss on paper you can claim that against any PAYE already paid - starting/backdated from 6 years ago.
 
1000 quid is not a lot and as others have said can easily be eaten up in expenses but I believe it is always safer to be up front with Mr Taxman. A mate was in a similar position as you till he fell out with an expartner who grassed him up to all she could. He had no recepts or anything like that when they came to call and as their suspicions were now raised went throuh everything looking for evidence of wealth and unpaid tax. Don't know if it is true or not but when I used to breed dogs my vet once told me that HMRC keep an eye on the likes of classified adverts looking for people continually selling the likes of pups/cars etc.
 
spot on Gazza that also came up when tax man investigated me 5 pups @350.00 each =profit to them. of course its not when you deduct expenses but it cost me hours of work to show it
 
Depends how you word your invoice. Do it per bunny you pay. However if the invoice stated "In controlling your bunnies I executed 1,324 bunnies. I however had £999 in expenses which I would ask you to cover, not taxable if you prove the expenses, clothing, rifle motrring, dogs, dogfood. Then if the taxman askes you say It is a not for profit enterprise hense I only take expenses. The difference would not be worth the hastle. Jim
 
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