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    Hi I am doing my first craft stall in a couple of weeks. Should I be registered then? Seems a bit major and frightening really...

    Catherine

  • #2
    hello and welcome, what are you selling???

    Is your craft a hobby or do you make enough to earn a living??

    Most people who have stalls at craft fairs are not registered for tax as we don't make enough to warrant it.

    I'm sure someone more into the tax and IR situation will be along soon to help you though,
    Diane
    Reach for the moon-if you miss-you'll still be amongst stars




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    • #3
      hello,

      technically you need to register within 3 months of starting. starting may mean the date of your first fair but probably it will mean sometime before that so you can claim for the expenses of buying materials etc.

      what is your employment situation? if you already have a full time job, pay taxes and are doing craft fairs as a bit of a hobby, don't make any profit and only do the occasional fair then you may get away without registering.
      maybe worth trying it for a while to see how it goes?

      i'm reluctant to tell you that it is ok not to register as i'm sure there are folks who would that say if you are taking money you should be declaring it also if you are unemployed or this is your main income I would register quickly as the tax people may be wondering what you are up to.

      its not all that scary registering, the tax people are very friendly when you are actually trying to pay them taxes!

      the most important thing to do is to keep very good records of everything sales and expenses so that if you do register at some point in the future you will have tax records to refer to!

      good luck with your stall!
      Last edited by elzi; 17-01-2009, 01:04 PM.

      portfolio: www.suzielda.co.uk

      buy online: www.mooart.com

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      • #4
        Originally posted by Catherine21 View Post
        Hi I am doing my first craft stall in a couple of weeks. Should I be registered then? Seems a bit major and frightening really...

        Catherine

        As mentioned above, if under the HMRC rules, you count as "self employed" - you need to register asuch within three months of starting your "self employment" - not necessarily connected to your first stall.

        Do you have another (full-time) job?
        --Matt

        Web Development
        Beads, Charms & Findings - Jersey Craft Shop

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        • #5
          Hello and
          MISI - http://www.misi.me.uk/store_info.php?user_id=741

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          • #6
            nice to see you. Are you crafting for a hobby and selling just to cover your costs of materials? It does make a difference.
            Carol
            God helps them that help themselves.

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            • #7
              Hi and thanks for your replies, I do have a full time job and card making is a hobby... It will just be the occasional craft fayre to try and get rid of the mound of cards that I have been making!!!

              Catherine

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              • #8
                Similar situation

                Hi, I'm new to this forum too and am very interested in your thread. I've been crafting for a while and did a couple of fairs, selling cards. I'm now making jewellery and have done one fair, and am planning more, and have also got a shop stocking my jewellery. I'm hoping to get more retail outlets and go on-line, but this is really just a hobby as I have a full time job.

                I'm keeping accurate records of income and expenses - so far expenses far out way income but I haven't registered for tax - as you say Catherine it seems a bit daunting! Have to admit I'm taking the 'head-in-the-sand' approach. Maybe I should phone the tax office for advice
                Regards, Carol

                http://www.lindenblossom.com

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                • #9
                  Hi, please don't be put off talking to the Tax Office. So far I've always found them very helpful and friendly and much less scarey than if they found out via another route that I was doing this!

                  I've been registered self employed since Sep 07 when I took on freelance editorial work. The process is quite simple - mainly filling in a form - and they do offer free courses to help. I've been on two - becoming self employed and self-assessment - which were free and I could sign up for the nearest tax office to me to minimise travel and it was very useful to have a tax expert in the same room who we could bombard with questions! I've since added the jewellery side of my business as another stream and it's quite painless.

                  I think if you're selling via an outlet, I'd definitely recommend registering as if you don't, it might show up on their books and the tax office might come asking you questions rather than the other way round. They understand that start-up costs usually exceed income at the beginning and I actually got a tax rebate last year. So, if you register, you might find it comes out in your favour!

                  Hope that's useful
                  Jane

                  If beads were still currency, I'd be a millionaire!


                  http://www.wildheartcrafts.co.uk/

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                  • #10
                    As far as I understand it if you are selling you need to register as self-employed within 3 months of commencing. It is not worth not abiding by the regulations and there is plenty of help out there. Contact HMRC and ask for advice. You need to keep accurate records of expenditure and income in order to prepare a tax return at the end of the tax year. Starting the correct way is much the easiest.
                    Cynthia
                    http://iforjonesdesigns.website.orange.co.uk

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                    • #11
                      Hi & Welcome
                      www.cardsforewe.co.uk

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                      • #12
                        Hi

                        Cynthia is right in that you need to register as self-employed within 3 months of commencing, or you may be fined. Especially if you have a full time job as the likelihood is that if you are already paying tax in your full time job (as your income has gone over your personal allowance), then you are liable to pay tax on any profit (your sales less your costs) earnt from your self-employment even if it is just a hobby.

                        If your profit doesn't exceed your personal allowance (generally £6035 but depending on circumstances) then you don't owe tax anyway but you still should technically fill in the form.

                        If you are self-employed then you are liable to pay Class 2 National Insurance Contributions (personal NIC), you can opt out of paying these if you earn less than £4825 profit although check this is the best thing for you by talking to HMRC. You are also liable to pay Class 4 NICs aswell (Business NIC's) but only if your profit exceeds £5435. Aswell as your tax!!

                        I hope that doesn't just confuse! These are general rules so please check for your circumstances.
                        Joanna
                        Joanna Marie Jewellery

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                        • #13
                          As normal all advice depends on your circumstances.

                          As normal all advice depends on your circumstances.
                          If you are retired with a taxable pension it may be very worth your while to be registered as your initial capital costs for setting up can be usually put against the tax you pay.
                          I would have an informal chat with your tax office, saying what you might be doing but not necessarily when. i have often found them very helpful in the past.
                          www.toppotsupplies.co.uk

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