Tax?

[bmh16]

I've been thinking about this for a while, and my dad is constantly worried lol because as Im under 18 (or 16) apparently i can't be taxed under my name, and it would come under his name, so with the thousands i've already had this tax year already, should i be worried about this?

I know its not me who orders the gifts, its the networks who are registered companies. But with the vast amount of goods coming to the door, i come back to the question, could i ever be taxed?

Ben

[the_icks]

yep, 30% it will be added to his paper bill at the end of each month.

Edit: And no I am not going to let you get to 4000 posts before me!!

Edit: Sorry but we am not going to let you get more posts by spamming either!

[Dunstan]

This country doesn't have gift tax, so you're safe

[the_icks]

but it does have git tax, so be afraid, be very afraid... in Neath nobody can hear you scream

[claire80]

i was thinking with regards to bank transfers - how would mr taxman know it was a gift ? i am self employed so have to do my self assement so i have avoided bank transfers in case it causes problems i havent done a tax return yet as this is my 1st year so dont know a great deal , although it is a gift is it earnings ?

[vix]

Is stuff received through marketing affiliate incentive schemes

a) Prizes?
b) Gifts/presents?
c) Purchases?
d) Unearned income?

I would think if it was thousands of pounds being transferred via paypal to you and then being transferred into your bank account then this might flag up as taxable income, but if it's just items I couldn't imagine it would.

[Dunstan]

Almost 100% certain everything is covered as gifts.

[claire80]

if this is the case though how would you proove a bank transfer was a gift if you are self employed like me how do they know its not a payment from a customer etc ?

[the_saint]

I don't think you would be able to argue for the purposes of tax that these were gifts. You have to work for them - provide consideration - and if a network did not pay up on a gift you would expect to be able to sue on it, which is not really consistent with a gift, whatever the terminology used.

As for your tax position, i'm not a tax expert but I wouldn't have thought your dad could be taxed as he has not actually receieved any income. Though i'm open to being proved wrong on that one.

[kudos]

As far as I'm aware the fact that you're under 18 is irrelevant.

Even a new born baby could pay tax if they had an income. So your Dad needn't worry. If tax was payable, it would be on your head!!

As for whether you should be paying tax, I don't think you should.

Not my speciality though I'm afraid.

[the_icks]

Originally Posted by the_saint

I don't think you would be able to argue for the purposes of tax that these were gifts. You have to work for them - provide consideration - and if a network did not pay up on a gift you would expect to be able to sue on it, which is not really consistent with a gift, whatever the terminology used.

As for your tax position, i'm not a tax expert but I wouldn't have thought your dad could be taxed as he has not actually receieved any income. Though i'm open to being proved wrong on that one.

Yeah, but what about the man on the Clapham Omnibus, do you think we could get him to sign up??

[claire80]

you can earn a certain amount i think its about 6k before tax anyway cant you , also remebering back to my student days i thought you didnt get taxed if you were in full time education?

[the_saint]

Originally Posted by the_icks

Yeah, but what about the man on the Clapham Omnibus, do you think we could get him to sign up??

I'm sure Arctic could.

Edit; tax allowance for this tax year is £5,225. I don't think there is an exemption for full time education as I know i got taxed when I was at Uni. I think it's just a case that most students don't earn enough to get taxed significantly.

[bmh16]

ok thanks for the help people. on msn furby has given me a very important link apparently as a lot of you are getting this wrong apparently: http://www.workingforyourself.co.uk/...s/helpline.htm

[Dunstan]

Think it's up to 4.7k before tax.

We're not buying or selling though.

Just receiving money. Pretty sure it counts as a gift.

Maybe if we are considered as charity cases then we'll def not pay tax

[claire80]

Originally Posted by biker14

ok thanks for the help people. on msn furby has given me a very important link apparently as a lot of you are getting this wrong apparently: http://www.workingforyourself.co.uk/...s/helpline.htm

where is furby has he done a darius?
thanks for the link btw

[kudos]

you can earn £5k before paying tax. (just over) and this will got up in April.

doesn't matter if you're in full time education (as far as Im aware)

If you've got an income, over the threshold, you have to pay tax.

(stand to be corrected, but I think im right - lol)

[the_saint]

Originally Posted by Dunstan

We're not buying or selling though.

Just receiving money. Pretty sure it counts as a gift.

But you are receiving money in return for doing something for them - I.e. getting them sign ups, so I reckon it would be taxable income.

But think about it this way, if you go to work and do work for them you get paid in cash (or BACS or PAYE or whatever) which is taxed. But what would the position be if instead of cash you got paid in PS3's etc? I know it's not the best analogy as we are not employees, but you see what I am saying?

If it was a gift then it would be at their discretion to give it to you and they could change their mind without you being able to do anything about it, which is clearly not the case here.

[bmh16]

Lee (kudos), apparently you have summed it up well

Originally Posted by claire80

where is furby has he done a darius?
thanks for the link btw

He's taking a break from posting, but is still reading the forums lol

[the_icks]

he's realised he's 40 next birthday!!