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Register as a sole trader

This is a discussion on Register as a sole trader within the The Business Aspects of Web Work forums, part of the Webmaster Discussion category; Hi all, I'm new to this site, but recognise a few names from boards.ie I am wondering how many of ...


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Old 05-08-2008, 05:30 PM
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Hi all,

I'm new to this site, but recognise a few names from boards.ie

I am wondering how many of you develop sites in your own spare time, while working as a full time employee.

A friend of mine is a graphic designer, and between us we are setting up a couple of sites. Basically, he does all the front-end stuff, and I plug in any back-end coding that's required.

At the moment, I am just invoicing him for any work. We've only started doing it this year, so my first tax return is due this year.

I know I can just declare any extra earnings, but I don't know what I am able to write off as an expense. Is there anything to be gained by registering as a sole trader, or am I best off just declaring it at the end of the year. I'm certainly not going to be reaching the VAT threshhold anytime soon, so that's not a concern.

If I continue just declaring it as extra income, can I claim part of my mobile bill, broadband, computer parts, occasional mileage and all that?

thanks in advance,

Eoin
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Old 06-08-2008, 11:49 AM
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I'm a full time employee but also run several websites in a part time basis.

As far as I am aware you cannot claim anything back unless you are a registered business, so I have been told by the tax man.
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Old 06-08-2008, 12:03 PM
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While you may not be able to claim anything back, I understand you only declare your profits (i.e. your earnings less expenses).

So, I suppose what my question should have been: what can you off set as an expense against your earnings?
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Old 06-08-2008, 12:06 PM
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an accountant would be the best to talk to, but basically any expenses. Afaik you can claim business costs for up to 6 months before you set up the business, so if you bought a computer, a desk etc prior to setup that can be offset.

Things like bills, petrol, software etc can be claimed. But the accountant is the person to talk to
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Old 06-08-2008, 12:19 PM
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Quote:
Originally Posted by effect View Post
an accountant would be the best to talk to, but basically any expenses. Afaik you can claim business costs for up to 6 months before you set up the business, so if you bought a computer, a desk etc prior to setup that can be offset.

Things like bills, petrol, software etc can be claimed. But the accountant is the person to talk to
Thanks folks, I think that's the best thing to do alright.
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