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UK Amazon Kindle Publishers: How do you pay taxes?!

by webnerd
5 replies
That may seem like a silly question but I'm really confused about it. I'm in the process of creating my first book for the Amazon Kindle platform but not going to go ahead until I know all the rules about UK taxes etc.

I'm still young (over 18) and I've never been employed, so I have no idea about which taxes you should pay or what the minimum threshold you have to earn is to start paying taxes.

I'm hoping you guys that publish on Kindle can give me some help/advice? :confused:
#amazon #kindle #pay #publishers #taxes
  • Profile picture of the author AnniePot
    Visit your nearest Citizens' Advice Bureau, or consult HM Revenue & Customs.

    Don't depend upon unqualified advice from this, or any other forum.
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  • Profile picture of the author wtatlas
    Whether you earn your money on kindle or anywhere else makes no difference, the tax rules are the same. You have a tax free personal allowance which will be £10,000 for the 2014 to 2015 tax year. You will have to pay tax on income above that amount.

    That's the easy part. From the amount you earn you are allowed to deduct business expenses. These can be things like web hosting costs, domain name costs, software you use in the business, advertising costs, bank charges and so on.

    Have a look at the HM Customs website at the link below. It's a good place to start.

    HM Revenue & Customs: Self-employed tax and National Insurance

    Another useful site is...

    Tax for the self-employed - Tax - Which? Money

    If you get stuck the Revenue & Customs people are generally very helpful.

    Best of luck!
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    • Profile picture of the author Myles Sinclair
      Originally Posted by wtatlas View Post

      Whether you earn your money on kindle or anywhere else makes no difference, the tax rules are the same. You have a tax free personal allowance which will be £10,000 for the 2014 to 2015 tax year. You will have to pay tax on income above that amount.

      That's the easy part. From the amount you earn you are allowed to deduct business expenses. These can be things like web hosting costs, domain name costs, software you use in the business, advertising costs, bank charges and so on.

      Have a look at the HM Customs website at the link below. It's a good place to start.

      HM Revenue & Customs: Self-employed tax and National Insurance

      Another useful site is...

      Tax for the self-employed - Tax - Which? Money

      If you get stuck the Revenue & Customs people are generally very helpful.

      Best of luck!
      Great answer! My first job was as a tax officer for the Inland Revenue! But it was a long time ago. I think I can be forgiven by now!
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      • Profile picture of the author DireStraits
        Originally Posted by Myles Sinclair View Post

        Great answer! My first job was as a tax officer for the Inland Revenue! But it was a long time ago. I think I can be forgiven by now!
        Well, y'know... for some crimes no sentence is long enough.

        OP: Again, you could do better than take legal advice (which is what this amounts to, really) from a public forum. Not recommended at all.

        But another thing, I believe, is that if you're engaged in any activity from which you derive, or have the potential to derive, a self-employed income, you have an obligation to inform HMRC, aka Dick Turpin, of this at the earliest opportunity (and in any event a set period of time). Besides them wanting to know what you're up to and issuing you a taxpayers reference, self-employed people are liable for NICs (National Insurance Contributions) even if they're not earning above the income tax threshold. It's just a little form to fill out. You can apply for a SEE (Small Earnings Exception) certificate if you're struggling with the NICs because your earnings are below a certain level. But heed what they say about this affecting your entitlement to certain benefits and the state pension. Better to cough up if at all feasible.
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        • Profile picture of the author Myles Sinclair
          Originally Posted by DireStraits View Post

          "Well, y'know... for some crimes no sentence is long enough. ..............."
          Lol. Fair enough, I shall continue to seek redemption!
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