Pro Musicians/Finance.....
Discussion
After about 5 years off, I have started "playing" again.
I'm going to register as a sole trader as it's probably a good idea not to get on the wrong side of HMRC. I may do a bit of music teaching to boot.
Have any of you lot got any specific money saving knowledge regarding pro-musicianship?
I have got to spend about £3k on kit in the near future
Any help greatly appreciated. Google is no good in this respect.
There is nothing about VAT and performers. Hmmmmm
I'm going to register as a sole trader as it's probably a good idea not to get on the wrong side of HMRC. I may do a bit of music teaching to boot.
Have any of you lot got any specific money saving knowledge regarding pro-musicianship?
I have got to spend about £3k on kit in the near future
Any help greatly appreciated. Google is no good in this respect.
There is nothing about VAT and performers. Hmmmmm
My only advice would be to make up some book keeping rules and templates BEFORE you take any money.
I found out the wrong way how confusing it can all become within just a couple of months.
Keep travel and food receipts when you go to gigs.
Remember that stuff like CD's (or any music purchases), music magazines etc are research material, therefore tax deductable.
There is a few other things but you are best to talk to a music savvy accountant for more technical stuff.
I found out the wrong way how confusing it can all become within just a couple of months.
Keep travel and food receipts when you go to gigs.
Remember that stuff like CD's (or any music purchases), music magazines etc are research material, therefore tax deductable.
There is a few other things but you are best to talk to a music savvy accountant for more technical stuff.
As with any self employed work, keep receipts for everything. You can claim depreciation on all your music gear, usual expenses, CD's, out of hour subsidence etc...
I can recommend my accountant, who looks after loads of pro musos that I know, whilst not particularly being an entertainment specialist (which means he doesn't charge a fortune for the privilege) PM me if you want details..
I can recommend my accountant, who looks after loads of pro musos that I know, whilst not particularly being an entertainment specialist (which means he doesn't charge a fortune for the privilege) PM me if you want details..
Depending on how much you are going to spend on gear it may well be worth registering for VAT (even if you don't earn the amount when you HAVE to register). Not only can you claim VAT back on all the kit you buy, but also for all the kit you already own (assuming you have receipts). Also you can go onto the 'entertainers' flat rate VAT scheme which is 9.5% - This doesn't work for everyone, but saves me about £5k per year.
VAT Is a bit of a nightmare (they are REALLY strict) but I'm far better off being registered.... but then everyone I work for is VAT registered, so they don't have to spend any more money employing me. Horses and courses.
VAT Is a bit of a nightmare (they are REALLY strict) but I'm far better off being registered.... but then everyone I work for is VAT registered, so they don't have to spend any more money employing me. Horses and courses.
GetCarter said:
Depending on how much you are going to spend on gear it may well be worth registering for VAT (even if you don't earn the amount when you HAVE to register). Not only can you claim VAT back on all the kit you buy, but also for all the kit you already own (assuming you have receipts). Also you can go onto the 'entertainers' flat rate VAT scheme which is 9.5% - This doesn't work for everyone, but saves me about £5k per year.
VAT Is a bit of a nightmare (they are REALLY strict) but I'm far better off being registered.... but then everyone I work for is VAT registered, so they don't have to spend any more money employing me. Horses and courses.
I was gonna go VAT registered, but found out that many clients aren't VAT registered (and resent the 15% increase as they see it), or don't put their music costs through with 'normal' invoices... so unless I was buying alot of new gear every year it wasn't worth it..VAT Is a bit of a nightmare (they are REALLY strict) but I'm far better off being registered.... but then everyone I work for is VAT registered, so they don't have to spend any more money employing me. Horses and courses.
You sure you can claim for gear you already have? I'm putting a function band together and will need to buy a PA and lights etc but also have 2 drum kits (as that's what I play) but one of them I've had for 9 years?
This is the kit I'll most likely be using anyway.
What do you do about band members that aren't registered? Obviously I don't want it to look like I'm earning all the money as I'll be paying them. I haven't put any in place yet but you know what muso types ae like....
This is the kit I'll most likely be using anyway.
What do you do about band members that aren't registered? Obviously I don't want it to look like I'm earning all the money as I'll be paying them. I haven't put any in place yet but you know what muso types ae like....
Dickster said:
You sure you can claim for gear you already have? I'm putting a function band together and will need to buy a PA and lights etc but also have 2 drum kits (as that's what I play) but one of them I've had for 9 years?
This is the kit I'll most likely be using anyway.
What do you do about band members that aren't registered? Obviously I don't want it to look like I'm earning all the money as I'll be paying them. I haven't put any in place yet but you know what muso types ae like....
You should check with VAT or a decent accountant, but when I registered I got back £3k, on gear I had bought over the past 10 years. Rules change though, so worth a check.This is the kit I'll most likely be using anyway.
What do you do about band members that aren't registered? Obviously I don't want it to look like I'm earning all the money as I'll be paying them. I haven't put any in place yet but you know what muso types ae like....
TopTip. VAT are REALLY thorough, so don't even think about bending any rules.
GetCarter said:
Dickster said:
You sure you can claim for gear you already have? I'm putting a function band together and will need to buy a PA and lights etc but also have 2 drum kits (as that's what I play) but one of them I've had for 9 years?
This is the kit I'll most likely be using anyway.
What do you do about band members that aren't registered? Obviously I don't want it to look like I'm earning all the money as I'll be paying them. I haven't put any in place yet but you know what muso types ae like....
You should check with VAT or a decent accountant, but when I registered I got back £3k, on gear I had bought over the past 10 years. Rules change though, so worth a check.This is the kit I'll most likely be using anyway.
What do you do about band members that aren't registered? Obviously I don't want it to look like I'm earning all the money as I'll be paying them. I haven't put any in place yet but you know what muso types ae like....
TopTip. VAT are REALLY thorough, so don't even think about bending any rules.
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