Honey and the Taxman

Note: This section is purely to warn members and is not to be taken as professional advice in any way. If you have any questions please consult the tax office who are very nice people and very willing to help.

For many people it could be the last thing that enters the head. "This is only a hobby," you say. "It's not serious. Well think again.

From the moment you sell one jar of honey, you are making (hopefully) a profit and are thus liable to pay both tax and additional NI contributions. However, if you make a loss, you can claim a refund!

The reality of the situation for most people is likely to be that your earnings will be too small to warrant National Insurance charges but you WILL be expected to pay tax unless your total income is below the lower limit.

For people in work you will need to register as having a self-employed income in addition to your full time work. You will then be sent self-assessment forms with which the tax office gives you ample assistance if you need it.

Inland Revenue
www.inlandrevenue.gov.uk