Registering as Self Employed for Ebay accounts HELP

[Honestlyhelpless]

Hello all,

I operate a couple of eBay accounts under stealth rules (thank god for aspkin!) but my main most successful is in my Step dads name/Address (he is retired and on welfare benefits for disability) and they have all been running smoothly now for 2.5 years, as I am building up sales and taking quite a lot of money (last 6 months)
I have decided after reading in the Daily Mail that the HMRC are targeting BUSINESS ACCOUNTS with their new powers of info request to eBay that I REALLY HAD BETTER Register as a self employed trader and declare my earnings, it's tricky and scary as A, I am registered disabled in UK with a genuine Spinal Cord injury so I will be giving up a benefit as I was declared unable to work, which is still true to some extent - my condition means I would not be able to work outside my home or without the help of someone in my home to aid me which at present is my Husband, he prepares all my stock and posts it all etc.. anyway I am happy to let go of £400,00 a month in benefits and replace with my own money made on eBay but I am worried where to start with regards to TAX MAN - as my main account has been running for 2.5 years will they look into why I haven't declared earlier? also its in my step fathers name? CAN ANYONE HELP ME WITH SOME GOOD INFO. Also I buy all stock CASH? as its secondhand mostly booksales, will the HMRC believe my figures? What can we write off against the business? Any help really appreciated. I haven't registered yet as I am awaiting advice but need to do it soon so I can sleep well at night and not get into trouble further down the line.

[JamesNorth101]

You need to be talking to an accountant about all this really.

[dan_ebay]

Originally Posted by Honestlyhelpless

I am happy to let go of £400,00 a month in benefits and replace with my own money made on eBay

Oh well thats nice of you, you need anything else? Shall I just send you my debit card so we can cut out the middleman?

Will only be a problem if the taxman has reason to give you a big nasty inspection and checks all your bank accounts but thats unlikely. If he does you'll probably be made to pay all that you owe with a fine as a % of what you owe. Your problem will be that you have no records of what you've paid for so they'd probably make you pay more than you really owe and charge you for all the benefits you owe. Might get a year or 2 in prison on top if you're really unlucky

[noived]

Originally Posted by Honestlyhelpless

Hello all,

I operate a couple of eBay accounts under stealth rules (thank god for aspkin!) but my main most successful is in my Step dads name/Address (he is retired and on welfare benefits for disability) and they have all been running smoothly now for 2.5 years, as I am building up sales and taking quite a lot of money (last 6 months)
I have decided after reading in the Daily Mail that the HMRC are targeting BUSINESS ACCOUNTS with their new powers of info request to eBay that I REALLY HAD BETTER Register as a self employed trader and declare my earnings, it's tricky and scary as A, I am registered disabled in UK with a genuine Spinal Cord injury so I will be giving up a benefit as I was declared unable to work, which is still true to some extent - my condition means I would not be able to work outside my home or without the help of someone in my home to aid me which at present is my Husband, he prepares all my stock and posts it all etc.. anyway I am happy to let go of £400,00 a month in benefits and replace with my own money made on eBay but I am worried where to start with regards to TAX MAN - as my main account has been running for 2.5 years will they look into why I haven't declared earlier? also its in my step fathers name? CAN ANYONE HELP ME WITH SOME GOOD INFO. Also I buy all stock CASH? as its secondhand mostly booksales, will the HMRC believe my figures? What can we write off against the business? Any help really appreciated. I haven't registered yet as I am awaiting advice but need to do it soon so I can sleep well at night and not get into trouble further down the line.

I don't think it makes any difference if you registered as a business or private seller on ebay. HMRC use their own criteria to decide if you are a business trader or not.

[Haidukken]

So what you are telling us is that you have claimed benefits for past 2 and a half years, but same time you are earning living on eBay and you have not paid any taxes on it?

Sounds like a story off a telly, with one of those programs where they show a whole family being on benefits and "struggling" whilst they get new houses built for them, go on a holiday and buy new cars. As soon they start talking about work "problems" appear.

Tell you what... see how much you have made and pay the taxes on it, or contact your local council and say that you've made a bit of money on the side whilst you claim benefits because you can't work. I'm sure they'll be more than happy to calculate how much you need to pay back in missing taxes.

You'll sleep better, especially if you have such a serious spine injury as well. Not good for the mind and body if stress keeps you awake. You need your rest, seems that business is doing well.

[rsot]

Financial professional is in order - be careful

[NY91]

I would seek an accounts opinion. It's easy to comment on you for claiming benefits but if the system allows and you need them that is another matter. Good on you for trying to earn your own living given your situation. It does however come across your only want to make this change given the fact you could be caught instead of doing the right thing.

[Honestlyhelpless]

Hello all

Many thanks for the comments - good and bad, for the idiot who made the comment about benefit scrounges on luxury holidays and buying cars, and all the other rubbish you spouted, I'd like to see your sad face try listing all you own on eBay after a freak accident crushed your spinal cord leaving you numb from the waist down with bladder and bowel damage? I worked for 22 years and paid tax and NI all my life till my accident, listed everything I owned at first including my own car as I could no longer drive to pay my mortgage and keep my kids fed as UK government don't pay your mortgage if your suddenly disabled, I'd been selling as a business for 10 months last 6 months it has been good, anyhow sadly for the hater after taking the advice of the 'non hating' users to this site I contacted an accountant and spoke to a disability support adviser - turns out the benefit of DLA is not means tested and anyone disabled gets this no matter if they work or not, and no need to worry about whose names accounts are in as long as declared since running a business, and I would be under threshold for tax still, so my panic over - but once again thanks p.s if your so Honest what you doing on a STEALTH site???

[eternity4u]

Unfortunately you would get all sorts of comments.

We all can speculate and make judgements, the truth is no one knows anyone's circumstances.
We all have reasons, we all have situations.
All we are trying to do is make a honest living. (Minus some people who have come on this site for other wrong reasons. Only minority of them, majority are honest and genuine)

I admire those who don't let the hardship of some circumstances pull them in black hole.
It takes courage and determination and a strong person to pull themselves up and carry on with whatever life has thrown at them.

You can still earn and have benifits.
Some people in eBay work part time. It also depends on how much income you are getting. You still can get benifits if your income is low.

[Honestlyhelpless]

Thank you eternity4u for your response and perspective - I know its easy to judge and perhaps I didn't word it all correctly, I too am guilty of judging when sat in the disabled car parking bays and seemingly 'healthy abled bodied' people jump into their cars yet I know I really shouldn't judge they could just be having a good day. I was worried over nothing it now seems as Haidukken put it I can now sleep easy! my worse fear was being in trouble for operating and making money from accounts that weren't in my name and how to explain that to the taxman, I didn't know you don't actually have to show them the paperwork! as long as they get the figures and you declare it I should be fine. That really made me mad reading that, as yes I could just give up! and god knows I have felt like it at times, selling online saved my sanity x x

[wired]

My comment was removed Honestlyhopeless because it was 'political', offensive judgements are allowed, but quoting that someone might be a certain government party voter because of said comments is not apparently. I agreed with you, these people have no idea what its like to live a life far away from normal and in daily suffering for years and years on end with no 'light' at the end of the tunnel.

They should be ashamed of themselves.

[oompaloompa]

if this story is true, then this woman needs a standing ovation, for what she has been through....

the benefits gang I despise, are the able-bodied dossers who think they are too good to do menial work, even though they cannot string 2 words together, new plans to make people work to receive benefits is what we need, although they will all go off sick with 'anxiety' at that point...

OP, I understand your concern about stealth accounts and explaining to the taxman, but they tend to just look at what went in to your bank and your records, from what I hear on the forum. The problem is, that tax discussions are often curtailed due to the sensitive nature, and I never see anyone go in depth about experiences of tax reviews and how you would explain stealth details.....in theory you can register in any details for ebay/paypal.

[luverlyjuberly]

Originally Posted by oompaloompa

if this story is true, then this woman needs a standing ovation, for what she has been through....

the benefits gang I despise, are the able-bodied dossers who think they are too good to do menial work, even though they cannot string 2 words together, new plans to make people work to receive benefits is what we need, although they will all go off sick with 'anxiety' at that point...

I read an article a few years ago where a guy lost his job as a university lecturer. He wouldn't apply for a job as a bus driver because it was beneath him. it seems that if you are middle class who won't do menial work then that's O.K. (according to the Daily Mail type readers anyway).

[Honestlyhelpless]

Originally Posted by wired

My comment was removed Honestlyhopeless because it was 'political', offensive judgements are allowed, but quoting that someone might be a certain government party voter because of said comments is not apparently. I agreed with you, these people have no idea what its like to live a life far away from normal and in daily suffering for years and years on end with no 'light' at the end of the tunnel.

They should be ashamed of themselves.

Thanks Wired - I didn't expect a pat on the back from anyone I'm just doing what I needed to do, I felt I had no choice I could no longer physically work, DVLA had revoked my licence until I could prove I could drive (spinal cord injury is a instant revoke of driving) I started off selling all my shoes I could no longer wear with foot drop and numb legs! Then my beloved car went! And then kids clothing and anything else I could liquidate to keep us fed why battling to get some help from the government- basically if you have NOTHING they will pay your rent, feed your kids and give you money but we didn't qualify for means tested benefits as at first my husband simply reduced his working hours to care for me and our kids, and we owned our own home, after losing my independence I did not want to loose my home! anyway after realising no one was going to help me out and with the mortgage company literally a month away from taking our house I felt I had to do something! I used to be the main breadwinner at home and have always been stronger in character in my marriage my husband buried his head in the sand just saying there is nothing we can do, my body was buggared not my brain, and I slowly got it sorted, I'm not talking making thousands a week either! I was happy to pay towards the mortgage and feed the kids without worrying or just buying the supermarket offers as all I could afford - I do understand though people's view as in the UK a lot of people feign illness just to get benefits and those genuinely in need are sometimes judged wrongly, I'm glad the government is clamping down on this, I'd rather depend on myself than the government I just worry I won't be able to do this for long term as I'm dependant on help from others to do it, my husband does all posting and packing drops it off and I buy from a lovely guy who now comes to our house and allows me to cherry pick from a clothing collection warehouse - he charges for it though! But I'm happy at present to keep busy and make some money, I will declare it from 6 months ago when I switched account to a business so I'm no longer worried - again thanks so much for your response some of the others scared me and made me feel bad,

[oompaloompa]

daily mail readers = taxpayers = entitled to a say on how what they pay for is run...

bus driver is not menial, and if he is qualified he can do it, yes, a lecturer should get a job as a bus driver if he runs out of funds, should not need to go on benefits......I would clean toilets if I had to feed my kids....

[wired]

Originally Posted by Honestlyhelpless

Thanks Wired - I didn't expect a pat on the back from anyone I'm just doing what I needed to do, I felt I had no choice I could no longer physically work, DVLA had revoked my licence until I could prove I could drive (spinal cord injury is a instant revoke of driving) I started off selling all my shoes I could no longer wear with foot drop and numb legs! Then my beloved car went! And then kids clothing and anything else I could liquidate to keep us fed why battling to get some help from the government- basically if you have NOTHING they will pay your rent, feed your kids and give you money but we didn't qualify for means tested benefits as at first my husband simply reduced his working hours to care for me and our kids, and we owned our own home, after losing my independence I did not want to loose my home! anyway after realising no one was going to help me out and with the mortgage company literally a month away from taking our house I felt I had to do something! I used to be the main breadwinner at home and have always been stronger in character in my marriage my husband buried his head in the sand just saying there is nothing we can do, my body was buggared not my brain, and I slowly got it sorted, I'm not talking making thousands a week either! I was happy to pay towards the mortgage and feed the kids without worrying or just buying the supermarket offers as all I could afford - I do understand though people's view as in the UK a lot of people feign illness just to get benefits and those genuinely in need are sometimes judged wrongly, I'm glad the government is clamping down on this, I'd rather depend on myself than the government I just worry I won't be able to do this for long term as I'm dependant on help from others to do it, my husband does all posting and packing drops it off and I buy from a lovely guy who now comes to our house and allows me to cherry pick from a clothing collection warehouse - he charges for it though! But I'm happy at present to keep busy and make some money, I will declare it from 6 months ago when I switched account to a business so I'm no longer worried - again thanks so much for your response some of the others scared me and made me feel bad,

No worries hon, I know exactly where are are coming from. I think the younger members of this forum watch far to many Channel 5 tv shows and have now been brain washed by the Government to believe Disabled people are benefit abusers, forgetting that they are DISABLED and no one chooses to be disabled. they also have very little knowledge of the arduous process one has to go through to even get DLA or PIP, it is not a simple process whatsoever, even for people with no limbs (true story)

Earning something extra to help pay for the kids, the house, the non NHS treatment, or even to buy things to help you you going insane from being stuck indoors 24/7 and living in suffering, well, I dont think anyone who has experienced that would ever say it is 'wrong'. The youngsters seem to think that 'benefits' covers everything, which is FAR from the truth, it might cover daily living, but if your roof caves in, how do you fix it? I wonder if they would pop round to help?

Good luck with your endeavours, and dont let the B*****ds grind you down!