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Taxes on what I earn selling shareware?

Started by September 06, 2007 01:28 PM
12 comments, last by Susan82 17 years, 2 months ago
What I meant was, it's the sellers responsibility to send the cash to HMCR.
Quote: Original post by Jerax
What I meant was, it's the sellers responsibility to send the cash to HMCR.


Only if the seller is an actual business and not and individual.

It may actually be illegal. If he is an individual and has not incorporated his business, then he does not have the appropriate tax ID numbers. An individual improperly collecting money for the taxes improperly could, depending on the situation, end up in jail.

If he is an individual and is selling online through an agent who collects the tax and submits them to the government, then the agent (not him) should collect the money.


International tax laws are complex. They are probably #2 in complexity, right underneath international IP law. The OP needs to talk with a local tax adviser who can explain everything they need to do.
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Quote: Original post by frob
Quote: Original post by Jerax
What I meant was, it's the sellers responsibility to send the cash to HMCR.


Only if the seller is an actual business and not and individual.
That's not the case in the UK. A freelance contractor who earns over the VAT threshold has to register for VAT and charge it on invoices, even if they haven't incorporated.

Dan Marchant - Business Development Consultant
www.obscure.co.uk
Ah, great, more answers to this thread (I removed it from my bookmark once ppl stopped posting in it).

"A freelance contractor who earns over the VAT threshold has to register for VAT and charge it on invoices, even if they haven't incorporated.".
But that threshold in UK is £64.000 isn't it? So if I'm planning to not make that much money, can I just not charge nor send VAT?

Btw, I've looked up what you guys said earlier in this thread about paying extra tax to the swedish goverment.. let's just say I might be in big trouble :(
So thanks for giving me the heads-up, now I can carefully try to sort that mess.

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