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paying uk tax..but very complicated situation - guidence needed

Discussion in 'Business & Tax Advice' started by lisaberlow, Feb 17, 2014.

  1. lisaberlow

    lisaberlow Newbie

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    i am very confused and worried about it.
    i am not a uk citizen and not allowed to work.as i have been very good with internet i started from selling my iphone on ebay and from there it just became serious.
    i have made worth of more than 10k sales in last year.and i see tax month is approaching i so badly want to pay tax and get it done in a legal manner.
    but as i mentioned i am not allowed to work so would that cause problem ?
    if yes then what should i do in this situation.please help me.
     
  2. freakymonday

    freakymonday Junior Member Premium Member

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    That might be true if you would work for Employer, that wold couse the problem not only for you, but for employer as well, but any non-citizen living in UK should be able to set up business as self employed or register Limited Company. In your case I would suggest to set up self employed.
    Just search google.co.uk "register as self-employed" and very first link will be exactly what you need, there will be all the info how to set up self assessment and pay your taxes.

    If you did use your real name on Ebay and have all bank accounts in your name I would strongly suggest you to pay taxes, if you don't tax man might come knocking to your doors and if proven guilty you can face even jail time and hefty fine, even deportation.

    Tax fraud in UK is more serious crime than drug offence. There was this girl in the news some time ago, in Daily Mail, she was call girl (£1000 a night call girl) and didn't pay her taxes and she was jailed for 16 months.
     
  3. lisaberlow

    lisaberlow Newbie

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    i dont mind registering.but by doing that i might not get in even more trouble as i am on s here.please suggest me what to do.
     
  4. mickyfu

    mickyfu Jr. VIP Jr. VIP

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    You get nowhere being honest in the UK. It really is quite simple, you are not allowed to work here, so you cannot pay tax here.
     
  5. lisaberlow

    lisaberlow Newbie

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    so what am i supposed to do in this situation.
     
  6. freakymonday

    freakymonday Junior Member Premium Member

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    Please google this info at google.co.uk "non uk resident tax"

    First link will be from HMRC website and it says

    "If you are not UK resident you might still have to pay UK Income Tax and Capital Gains Tax on your UK income or capital gains. The rules are the same whether you became non resident when you moved from the UK to live or work full time abroad, or whether you have always been based abroad but have UK income or gains."

    So it doesn't matter if you are not allowed to work here, you are not allowed to work here for Employer, but you still can pay taxes on your income.

    Best thing to do is call Tax Office, they will give you best advice than anyone could give.

    Here is the number: 0300 200 3310
     
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  7. mickyfu

    mickyfu Jr. VIP Jr. VIP

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    Do not take this the wrong way but you obviously do not care much about the UK laws or you would not be working, so why be bothered about paying tax? To be honest your chances of being caught are very slim, and the tax man is not after people making a few 1000 here and there. Your main problem would be getting caught when you are not meant to be working, as you would likely get deported.
     
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  8. lisaberlow

    lisaberlow Newbie

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    thank you so much for all this help i really really appreciate that.i would certainly call them.
     
  9. lisaberlow

    lisaberlow Newbie

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    i know what you mean.but i had no choice instead of doing this.and i am not a dishonest person i would never try to take benefit of certain situations.if i earned from here then its my duty to pay tax thats how i think.
     
  10. longrun

    longrun Junior Member

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    Mr, there is nothing for you to worry about. You may not be allowed to work in the UK but there is nothing stopping you from doing business while you are in the UK most especially since the business you are in could have been carried on from anywhere in the world. Forget about google and just see an accountant and he or she will put you straight for a fee of £250 to £500. On an income of about 10K you will be looking at about £600 in tax and national insurance. Good luck.
     
  11. MisterTwister

    MisterTwister Regular Member

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    Are you running a business on ebay or are you selling your personal belongings?

    If you have had a message from the Inland Revenue or HMRC because of trading on ebay then just stop and they don't normally do anything else. (This has happened to a couple of people I know)

    I would recommend you avoid contacting the tax office and stop trading until you have a Visa that allows you to work or citizenship.

    If you feel so strongly about paying your due to the UK why not donate the tax equivalant to a UK charity for terminally ill kids - I am sure you we feel much better for this.
     
  12. MisterTwister

    MisterTwister Regular Member

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    Are you sure about this? I am assuming that sales have been on ebay.co.uk, goods dispatched from UK and mainly delivered in the UK. There is a big difference between doing a bit of online business while on a vacation and trading in a country.
     
  13. mickyfu

    mickyfu Jr. VIP Jr. VIP

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    I have no idea why people keep trying to give bad advice. If you are not meant to work here, you are not meant to work here in anyway at all. Therefore the only thing you can do is quite simply keep quiet. You cannot pay tax on money that you are not meant to be earning.
     
  14. IM Addict

    IM Addict Registered Member

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    Why do you say this?
    When, a few months ago I did some reading on the HMRC website, all seemed pretty straightforward, easy, and the amount of taxes that you have to pay seemed to be fair.
    You should live where I live, here you have to pay so much taxes, even if your income is only a few €€, that you lose the will to work, or at least doing business the right way and pay taxes.:(

    Would you recommend other EU citizens not to go to the UK, if their purpose is living legally, and doing business(also legally and in an honest way), in a better fiscal environment?
     
  15. mickyfu

    mickyfu Jr. VIP Jr. VIP

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    I meant in general, I was not directly relating my comment to tax. However if the OP (who is not meant to work in the UK) tried to be honest and told them about his earnings, likeliness is he would be visited by and immigration officer and deported.

    As for moving to the UK to run a business, well if you like paying tax for it to be squandered on shit, the UK is the place for you.

    Weather is shit, most the people are shit, not much point living in the UK to be honest. The reason why I spend most my time out of the UK.
     
  16. Panther28

    Panther28 Elite Member

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    You might not have permission to work for someone in the country, however UK is happy to accept your business, and we welcome you as an entrepreneur. We already have many millionaires and a few billionaires that are in the same situation as you. I will personally guarantee that you have the backing of the Prime Minister David Cameron regarding this, as well as the UK treasury.

    We can also provide you with grants and funding if you decide to register a LTD company here, and provide jobs for the other people in this country. Self employed is not applicable to your situation.

    Best of luck.
     
  17. IM Addict

    IM Addict Registered Member

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    Thanks for all that sincerity...

    I think I'm about to fall in to a deep depression, as my main objective (short term) was moving to the UK, a country that looked awesome in many ways, except for the weather, I have to give you that one! :)
    Well, guess I have to think about trading the nice weather for a better fiscal policy, as shitty people seem to be everywhere...
    The UK seemed such a nice place to live, looking from here, the south PIGS! :(
    In your opinion, what would be the best EU country to live in(and do business)?
     
  18. IM Addict

    IM Addict Registered Member

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    Is this true, even if you are EU citizen and you are legal in the UK?
     
  19. Panther28

    Panther28 Elite Member

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    Self employed is really for trades who run family business. If you are building online business then LTD company is best. You are able to come and go as you please if you are a company director, and have more advantageous tax arrangements than either self employed, and especially employed.
     
  20. IM Addict

    IM Addict Registered Member

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    I see you're the guy to talk to, if I decide to go the UK! ;)