Forum

Keeping accounts and proving income
 

Hi everybody,

I'm not sure if this is the right place for this, but you all seem pretty knowledgeable and straight-talking, so I'll ask it anyway.

I'm not sure how to keep my accounts. My earnings are so low (well below the tax threshold) that I never really thought of it as a priority. I've got records of everything in my PayPal account, I just thought I could worry about putting it all together when the time came to do my tax return.

So is there any particular system I should be using? Is there a template I could use?

Also, I understand that you have to provide proof of your income, with invoices, etc. All I have is my PayPal transaction history. Could I just print this off and give it to them. Would that do, even though it's just a print-out?

I know I sound really dense here, but hey - if I don't ask I'll never know, right?

have you registered as a business seller on feebay then yeah?

Nooooo... is that bad?

Really, though, only a small proportion of my income comes from selling on eBay. Most of it comes from freelance writing jobs. But it all gets paid into my PayPal account.

If you are getting paid through PP even for your real job, I highly recommend you
find an alternate main way to get paid.

You really don't want to jeopardize your real job income with PP limiting you and keeping the money for at least 180 days.

I agree with Saijin, find another way to get paid, as paypal is is just too insecure.

Try the this keeping records advice HM Revenue & Customs: Starting in business - Keeping records: a quick guide

I would go to your local library or buy a book from amazon on book keeping for a small business, as you have a thousand things to think of if you are running a business from home. You could also go to your bank and see a business manager.
If all else fails call the tax office on the number you can find on that link and ask, as what is right for one person may not be right for another.

Always remember with the tax office ignorance is no defense, so you are right to ask all the questions you can