Daughter's business

[baldyb220]

Hi all,

Just a quick one. I'm looking to give my DJ business to my daughter who is 15 now and she will take all earnings from it. Basically I will work for her and she keeps the money. Its my way of her having Savings for when she is older and I won't earn a wage. I just wanted to know what I need to do or any advice as she doesnt have an NI number yet.
Any help or advice would be great.

Thanks

 

[bigsie]

That is a lovely gesture, but are you ok financially to be able to work for free ?

 

[James MIller]

A child under 16 does not pay NI but would pay tax. The question though is she earning the money? If you are working for free I guess you are working below minimum wage? Maybe think about a partnership. I think HMRC may think you are diverting income to avoid tax so be careful.
Rgs
James

 

[baldyb220]

Thanks for the replies. I'm a plumber by trade so am already earning.

 

[MOIC]

Speak to your accountant.

There are many issues, some only he will be able to give accurate advice.

 

[OldWelshGuy]

I had in investigation when my daughter was earning money they said I was watering down my income (which I wasn't they are her sites I do nothing other than advise on them).

It can be done but as stated, talk to your accountant.

 

[MyAccountantOnline]

Hi all,

Just a quick one. I'm looking to give my DJ business to my daughter who is 15 now and she will take all earnings from it. Basically I will work for her and she keeps the money. Its my way of her having Savings for when she is older and I won't earn a wage. I just wanted to know what I need to do or any advice as she doesnt have an NI number yet.
Any help or advice would be great.

Thanks

Is your daughter actually going to have any involvement in the business?

Its a lovely idea but I suspect HMRC are going to say you are simply carrying on the business as you have always done and saying its your daughters to try to avoid paying tax on the profit.

 

[OldWelshGuy]

That's what they claimed with me, but in my case they accepted that she was actually doing the work and that I was providing assistance to help her learn and grow the business.

 

[The Byre]

By all means teach her to DJ, pretty young girls an get gigs were middle-aged plumbers are totally out of place!

But keep the business until she is 18 and by that time she will be able to fly on the 'wheels-of-steel' and scratch, rap and MC with the best of them!

 

[The Byre]

What on Earth is wrong with this forum's software. I pressed 'post' once, yet the message appears twice! And that is not the first time that has happened.

 

[OldWelshGuy]

happens with PHPBB as well, it is a PITA. I sometimes wonder if it is a browser configuration issue as (like I said) it happens on PHPBB also.