# Paid photography work - Income tax



## Desbo (Feb 8, 2012)

I'm a keen photographer and sometimes do a favour for friends getting married and take their wedding photos. I'd like to make a little bit of cash and thought I'd make my own website in the hope I might get 1 or 2 jobs out of it.

Does anyone know if I have to declare myself to the Inland Revenue as soon as I've set the website up, even though I've not had any work from it, or can I wait until I've done my first job before registering with them?  I'm not sure if this counts as freelance work or a business.

There doesn't seem much point in registering with them if I don't get any work, then have to fill out the self assessment form next year with nothing on it.


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## gabi (Feb 8, 2012)

I've been doing bits and pieces of freelance design work on the side of my normal 9-5. Havent declared anything, just taken the money. I'm told this is normal practice in the freelance world.


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## editor (Feb 8, 2012)

Depends on the amount. If you're talking hundreds of pounds, I'd declare it.


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## Desbo (Feb 8, 2012)

My question isn't as to whether I should declare it or not, it's 'when' do I declare it? IE. Do I have to tell IR that I have a photography 'business' before I've earnt any money? Or is this counted as freelance, so I wouldn't have to say anything until I've actually earnt some cash.


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## gabi (Feb 8, 2012)

Once a year isnt it..? April?


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## bi0boy (Feb 8, 2012)

Don't declare anything in advance, it's not necessary and is a waste of everyone's time. After the tax year is over in April, consider what you earned in the previous tax year and whether or not you need to submit a tax return.


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## Puddy_Tat (Feb 8, 2012)

This is HMRC's page on how to go self employed (either full time or in addition to a regular job)

My understanding is that you *should* tell them when you're starting self employed work, and not leave it until the following April.  There may also be national insurance implications.  I don't think HMRC recognise 'freelance' as a separate thing.

On the positive side, bear in mind that you can claim business costs against your tax - i.e.  you should be paying tax on your profit, not your gross income.  Any costs of setting up the website, advertising, business cards, your mileage / travel on business all probably count as legitimate expenses (although you'll need to keep receipts and records) - you may be able to claim a proportion of household bills, although whether that could drop you in the shit for business rates / upset the landlord or mortgage provider, I'm not sure.

Obviously there are people who do odd bits of work 'on the side' and don't declare it.  Obviously that would be naughty and I'm not going to suggest you do any such thing.

Also bear in mind that the revenue appear to expend far more energy on pursuing the small person who might be fiddling a few quid here and there than they do on being taken for lunch by big businesses who might owe them several million quid.  If you occasionally do stuff for mates and get slipped a few quid, the chances of them finding out are fairly remote, but if you advertise then there's a chance they will notice you.

Disclaimer - I'm not a lawyer, tax-man or accountant.  I have fairly recently become unemployed freelance and have started down this road...  Someone who knows more about it than me may come along and say I'm talking bollocks.


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## bi0boy (Feb 8, 2012)

Puddy_Tat said:


> This is HMRC's page on how to go self employed (either full time or in addition to a regular job)
> 
> My understanding is that you *should* tell them when you're starting self employed work, and not leave it until the following April. There may also be national insurance implications. I don't think HMRC recognise 'freelance' as a separate thing.


 
There's a big difference between "going self-employed" and hoping you might earn a bit of pocket money.


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## Desbo (Feb 8, 2012)

bi0boy said:


> There's a big difference between "going self-employed" and hoping you might earn a bit of pocket money.


Yes, I agree.  Do the Inland Revenue though? 

I might have to give them a call and explain my situation, then see what they suggest.   I'd rather not have to though!


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## gabi (Feb 8, 2012)

dude, dont pay tax on it - the chances of you being audited are miniscule. you'd be silly to, particularly given its personal/wedding stuff.


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## FridgeMagnet (Feb 8, 2012)

If you start up a website and advertise for business, you should really register as self employed. It's easy to do and you can have that on top of PAYE without an issue. If you don't earn anything much, fine, you won't have to pay any much tax - and you can also claim cameras, film etc as expenses against it, so you might not pay a penny anyway.

You could practically get away just not paying tax on those earnings if they were small, but if it ever started to get larger, and they decided to take a look, you'd be a bit fucked.


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## Leafster (Feb 8, 2012)

HMRC used to get a bit iffy with Hobby photographers. Many of them claimed more on expenses and equipment than they earned and then offset their losses against their PAYE income to get tax refunds. 

After a while they made them carry their losses forward against any future profits from their hobby. However, it still could be possible to claim the losses for two or three years before they cotton on to it.


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## George & Bill (Feb 17, 2012)

You register for self-assessment only once you've done the work.


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## Desbo (Feb 23, 2012)

slowjoe said:


> You register for self-assessment only once you've done the work.


Thanks, I think I'll do this.


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