Charging Worries . . . . .

[wrdm]

I’ve been working away for this past year building my portfolio. My issue comes that I’m now getting tired of giving away free shoots every weekend!! I had contemplated asking for a small fee at least for my time spent shooting and processing.

I’ve not yet registered as a business in the UK (I was hoping to do this next year all going well) but I’m worried about the potential can of worms that this can open up legally – i.e tax issues, what if a client wants a receipt, etc?

Is there anyway I can charge for my product, or am I best to keep it free until such time as I can fully register?

[bhursey]

Originally Posted by wrdm

I’ve been working away for this past year building my portfolio. My issue comes that I’m now getting tired of giving away free shoots every weekend!! I had contemplated asking for a small fee at least for my time spent shooting and processing.

I’ve not yet registered as a business in the UK (I was hoping to do this next year all going well) but I’m worried about the potential can of worms that this can open up legally – i.e tax issues, what if a client wants a receipt, etc?

Is there anyway I can charge for my product, or am I best to keep it free until such time as I can fully register?

Depends on your local laws. In the states as in Georgia I am taxed by sales on tangible goods as in me selling prints. If I give digitals I am not charged sales tax. I was required to get a business license because I provide a service in my town. I just clam what I make as income on my tax return. Its always best to go the legal way. You might want to talk to an accountant.

[Swisstony10]

As far as registering yourself as a company is concerned, have a look at the wide range of guidance booklets available from Companies House - as far as I'm aware, you don't have to register as a company to charge people a few quid here and there for something which is, at the moment, essentially a hobby.

In terms of tax, I'd recommend checking out HM Revenue & Customs: Home Page - they also have a range of guidance booklets (which you can download), and are normally more than happy to give accurate advice if you phone your local tax office.

If you have a job, and you're doing this in your spare time, and more than likely taking either cash, or personal cheques which you'll pay into your bank account, and it doesn't amount to enough to even remotely consider chucking in your day-job, then you can say that it's a hobby. I'm no expert in our taxation system, but I seem to remember that back in the 80s when I had a job but was playing once every few weeks with a band, I didn't need to declare my income from the band (which wasn't much anyway) because it was a "hobby", and was below a certain ceiling.

Either way - best places to check exactly what your position in the UK is would be Companies House and HMRC.

[Statto]

Originally Posted by wrdm

Is there anyway I can charge for my product, or am I best to keep it free until such time as I can fully register?

Hi Wrdm

Unfortunately, all income is taxable, even if you think that your total income is below the tax paying threshold you should still be filling out a self assessment form and sending it into the revenue, they decide if you should be paying tax, not you
As for charging for a product goes, do you have public liability insurance?
If not, what happens when a toddler trips over your camera bag during a shoot and breaks her leg? If the parents take you to court, its your pocket you have to pay out of!
Basically, in my humble opinion....
If you are doing favours for friends to build your portfolio and these favours are in the region of £10, then youll be ok carrying on as you are (although you still have to declare this income)
If you are starting to do 'proper' shoots, maybe the odd wedding, and especially if you are doing shoots for strangers your gonna have to think about the possibility of doing things properly. Become a sole trader, or purchase a limited company, get insurance etc

I know its not what you wanted to hear, but its what youve gotta do

Hope this has helped