Individuals may inform HM Revenue & Customs of any undeclared income received using the Second Incomes Disclosure facility.
The campaign is aimed at those in employment that have additional untaxed income. The examples of income HMRC are targeting are:-
- Consultancy/ training fees received
- Payments received for providing entertainment or organising parties
- Buying and selling goods for profit at car boots or market stalls
- Income from hairdressing, gardening, taxi driving or fitness training
- Profits from making and selling craft items
If you believe you have additional income to declare a notification form must be completed and submitted to HMRC then you have four months to complete a disclosure form and pay the tax you owe. Penalties of up to 100% may be imposed on those targeted by HMRC however individuals makings a voluntary disclosure as part of the Second Incomes campaign will be able to take advantage of either 0%, 10% or 20% penalties.
For further information contact Caroline at CP Accountancy on 0116 230 3973.