Jump to content
Why become a member? ×

Should we pay Tax?


ticker.hart
 Share

Recommended Posts

[quote name='david_l_perry' post='636396' date='Oct 25 2009, 07:15 PM']No reason why it should that I can think of. It never has for me at any rate.[/quote]

The only reason I ask is that insurance companies weight the premium depending upon your job and I'm fairly certain that they'd take a 2nd income of 'Musician' and use that upon which to base your premiums, rather than a softer option which your first job might be (I base this assumption on the fact that insurance companies are money grabbing tw*ts who will try and worm there way out of paying out whilst happily increasing your premium at the drop of a hat :) ). I do know that as a Musician you'd be in a higher risk bracket than say a shelf stacker/production line worker/teacher/whatever.

Though if you were getting tax rebates that may offset some of the cost and would it be possible to claim any excess premium back from the taxman?

Link to comment
Share on other sites

[quote name='Sean' post='636086' date='Oct 25 2009, 01:13 PM']How do you show what you've spent on purchases from fellow Basschatters? Loads of us spend huge sums without any paperwork changing hands. It's quite a concern of mine. Shoule we be asking fellow Basschatters for receipts?[/quote]
[quote name='david_l_perry' post='636394' date='Oct 25 2009, 07:14 PM']If you declare your tax then yes, get a receipt of sale. This could just be a printed email confirming the funds have been transferred via paypal for example. Its just about a paper trail to back up what you are claiming for.

Obviously you also should declare your sales as well as purchases....[/quote]

What he said. There's no harm in a receipt anyway - though I don't think I have ever worried either way - but you PayPal account if you use that

[quote name='warwickhunt' post='636323' date='Oct 25 2009, 05:48 PM']Hmmm if you declare earnings to the tax man etc does that then affect things like car/house insurance etc?[/quote]
Declare or not it [i]could[/i] have an effect on the car insurance certainly - just try getting a quote through Confused or somesuch without mentioning a second source as a muso, and then adding it in and see how the quotes change :)

House I don't think it should unless you specify gear on your contents, but I think in other threads re insurance (contents or not) it has been suggested that separate and specific insurance for gear may be a better option (though I am happy to stand corrected on that).

Link to comment
Share on other sites

[quote name='WalMan' post='636465' date='Oct 25 2009, 08:42 PM']Declare or not it [i]could[/i] have an effect on the car insurance certainly - just try getting a quote through Confused or somesuch without mentioning a second source as a muso, and then adding it in and see how the quotes change :rolleyes:[/quote]

I hadn't thought of doing an online quote but just out of interest I had a go... made a difference of £325 (give or take the pennies) to my quote! :)

Link to comment
Share on other sites

Re:Tax
As a Chartered Accountant preparing accounts and tax returns for lots of small businesses, i have read these posts about tax with interest.
It is possible to keep the odd amount from a gig out of the tax net if it could be described as "financing a hobby" but there is a grey area between that and being in business as a musician.
I agree that I would recommend keeping a list of receipts, expenses, mileage, telephone costs, etc and showing any profit or loss on a tax return. It sounds like most people manage to show a loss most years - relief for the loss can be claimed on the tax return to ask for a tax refund.
I normally suggest that there ought to be a better year once in 5 years and actually pay some tax, since loss relief is only given if there is an intention to make a profit.
If there is a business, there is a possible liabilty to the self-employed NI contributions, but you can apply for an exemption if you expect your profit to be below £5075.
It is normal to claim an allowance in the profit calculation for using a home as an office for the business - £3 per week is a good starting point.

Hope that helps
I am a newbie as far as playing an upright bass and don't expect to be able to earn anything so am unlikely to take my own advice!

Link to comment
Share on other sites

Join the conversation

You can post now and register later. If you have an account, sign in now to post with your account.

Guest
Reply to this topic...

×   Pasted as rich text.   Restore formatting

  Only 75 emoji are allowed.

×   Your link has been automatically embedded.   Display as a link instead

×   Your previous content has been restored.   Clear editor

×   You cannot paste images directly. Upload or insert images from URL.

 Share

  • Recently Browsing   0 members

    • No registered users viewing this page.
×
×
  • Create New...