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Post by khampson on Apr 14, 2022 10:44:37 GMT
Hello, as I understand you can earn up to £1000 without paying tax on P2P lending, is this still the same if you are not working, can you use some of that allowance or is it capped at £1000 regardless of your employment status.
Thank you
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Post by overthehill on Apr 14, 2022 11:00:22 GMT
Hello, as I understand you can earn up to £1000 without paying tax on P2P lending, is this still the same if you are not working, can you use some of that allowance or is it capped at £1000 regardless of your employment status. Thank you
If you earn 12570 pa , you can earn a further 6000 pa of tax free savings interest (thanks to 2 separate allowances). Everyone has a 2000 pa dividend allowance and 12.3k capital gains allowance.
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zuluwarrior
Member of DD Central
chap from Newcastle, dabbling here and there. Long-time lurker of the forums
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Post by zuluwarrior on Apr 14, 2022 17:02:05 GMT
The £1000 figure you are referring to is what the gov calls trading allowance, they often give examples of selling a few bits on eBay or providing some services.
"If you earn less than £1,000 from self-employment, you don’t need to do anything: it’s completely tax-free."
Personally, I do not know if this applies to P2P income as this allowance doesn't apply to me
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Post by brummiefred on Apr 14, 2022 17:47:07 GMT
If you’re not employed, do not get a pension or do not complete Self Assessment, your bank or building society will tell HMRC how much interest you received at the end of the year. HMRC will tell you if you need to pay tax and how to pay it.
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corto
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one-syllabistic
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Post by corto on Apr 14, 2022 18:08:09 GMT
The £1000 figure you are referring to is what the gov calls trading allowance, they often give examples of selling a few bits on eBay or providing some services. "If you earn less than £1,000 from self-employment, you don’t need to do anything: it’s completely tax-free." Personally, I do not know if this applies to P2P income as this allowance doesn't apply to me The Trading Allowance (for eBay bits, casual services, ..) and Personal Savings Allowance (for interest received) are 2 different things. There are also 1k allowances for self-employment and Property income, which may apply to some here? (Added: It turns out the Self-employment and Trading allowance are indeed the same thing) www.gov.uk/guidance/tax-free-allowances-on-property-and-trading-incomep2p falls under the interest allowance (afaik)
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corto
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Post by corto on Apr 23, 2022 7:02:21 GMT
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