Thread: Register as a sole trader

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

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.

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?

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

Originally Posted by effect

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.