If Im employed as PAYE and take another income of ebay say 100 per week, how much tax could I expect to pay on that 100 and how would I go about declaring it?
- posted
19 years ago
If Im employed as PAYE and take another income of ebay say 100 per week, how much tax could I expect to pay on that 100 and how would I go about declaring it?
Richard blarted:
Depends what your day job pays, if you are highly paid and the ebay income takes you into the higher tax bracket you could pay as much as 40% of it as tax. On the other hand if you are low paid from your day job, then you would pay a lower rate of tax, say %20.
As this income is from self employment, you would need to fill in a Self Assessment and declare all the income, the tax office would tell you how much you then need to pay.
Be sure to deduct any legitimate expenses you incurred, like listing fees, postage, PayPal fees, phone calls etc.
Alec
You are taxed on profit, not income. There is also National Insurance to consider - Class 2 and Class 4 for the self-employed. However, there is an overall maximum limit (including Class 1) which cannot exceed the maximum for Classes 2 & 4.
Doug Ramage
What happens if you have no reciepts for your wholesale purchases?
Unless you paid cash, there should a record of their purchase - bank/credit card statements etc?
Doug Ramage
You've been a silly boy. You are suppoosed to keep this stuff for 6 years.
Or did you mean that it didn't exist in the first place. You'll have to try to make sure that it does in future
tim
You should register as self employed with the inland revenue and complete a tax return each year. Some useful sources of information:
0845 915 4515 - Inland Revenue HelpLineI am sure that there will come a point when the authorities start trawling through ebay records for undeclared income if they haven't already. It is better to declare your income first.
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