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referee expenses/HMRC

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Boris83

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hello everyone

I have a question I'm a level 7 referee for about 3 seasons now.
I have spoken to my local f.a who say it's expenses.
have looked into it and its a minefield with HMRC what I need to do declare am I self employed etc!
I only d about 30 games max a season if I'm lucky on a Saturday and some Sundays. any feedback help etc would be appreciated
 
The Referee Store
Generally speaking it only becomes a problem at L3 and above when the fees rise sharply. You would just need to show that there is minimal profit once you take into account any equipment kit purchases necessary to do the games, laundry costs, mileage at 45p per mile / transport costs (assuming flat fee), RA / other professional memberships, travel to meetings, etc. As a L7 you would only have a problem if you are refereeing as a career, i.e. refereeing a game pretty much every day. I know one referee who regularly does 300 games a season, and is already over 100 this season, but those are few and far between.
 
Amazon aren't bothered about UK taxes for their multi billion operation in the UK so I don't think you should be worried about your hobby.

Seriously though, it's a non issue
 
My understanding is that they've just change it so that you no longer have to declare if you earn less than a certain amount (either £700 or £1000 depending where I looked). If you earn more than that, you register as self-employed, but that would be unlikely on "only" a 30 game season
 
Anything less than £1k a year HMRC are not interested as it is petty cash given to cover expected costs in you carrying out your "hobby" (yes there is a legal term for this even if you want it to become a "job" one day)

If you are genuinely self-employed, you may have additional expenses and outgoings that mix with refereeing activities at which point there is the possability to declare them as an income, though you would also have to record and declare what activities are being undertaken such that you can have a profit or loss from refereeing. I do this, as I have additional costs that include ref activites thus leading to a loss being made per game.

If you have a PAYE job, 30 games a season - take the cash, fill the tank with fuel / pay your registraion fees and buy a new kit. You'll probs have nothing left after that - so is cost equal.

At higher levels the monies provided far outweigh the costs incurred with provoiding the service, so falls into being taxable.
 
Just to add if you are newly retired, or a non tax payer for any reason, you can still use your personal allowance before you need to think about tax.

Obviously, each individual needs to look at own circumstances.
 
Just to add if you are newly retired, or a non tax payer for any reason, you can still use your personal allowance before you need to think about tax.

Obviously, each individual needs to look at own circumstances.

Your pension is effectively considered income, hopefully most people's pensions would take them over the tax-free personal allowance limit.
 
As we are approaching the deadline for self assessment Tax Returns this information may well be useful.

It is worth noting that refereeing at Level 5 and below is unlikely to cause a tax demand.

Background
Income tax is payable on all forms of earned income which exceeds the tax free allowances which are set by the Government each year and is usually deducted at source by employers.

Referees, Assessors, Instructors, Mentors and others receiving an income from Refereeing related activities are classified as self employed. They are responsible for maintaining their own tax affairs and for declaring their income to Her Majesty’s Revenue & Customs (HMRC). Tax is not deducted at source and the payment of any tax liabilities arising from the fees received for undertaking their duties is the responsibility of the individual.

Tax payers are required to submit a tax return (either paper based or on-line) to HMRC by certain deadlines and HMRC have the authority to apply fines to those who fail to comply with submission deadlines, who submit inaccurate or incomplete information. HMRC do not issue a tax return to everyone but it is the responsibility of each individual to inform HMRC of their status and to submit a tax return if tax is due.

Income from Refereeing related activities must be reported when claiming state benefits. Failure to do so may affect future benefits and may lead to a fraud investigation.

The necessity to maintain records
To be able to calculate whether tax is due or not, everyone receiving an Income from refereeing related activities should maintain a record of income and expenditure:

Income includes:
1. fees
2. expenses
3. subsistence allowance (where paid)
4. ex gratia payments

Expenditure includes:
1. Affiliation and subscription fees to ABS & County FA
2. Match day and training kit
3. Laundry expenses
4. Training publications and other expenses
5. Accountancy fees (if appropriate)
6. Insurance
7. Mileage expenses at approved mileage rates including travel for:
· Refereeing
· Training, including fitness tests
· Personal hearings
· Society meetings
· County FA training seminars
8. Telephone, postage and stationery costs
9. Computer expenses and capital allowances for on line filing of reports
10. Anything else that is considered appropriate and necessary in the course of the activity in which the individual is involved

HMRC approved allowances for the use of your own private transport are currently as follows:-

Cars and vans 40 pence per mile upto 10,000 business miles per tax year
25 pence per mile over 10,000 business miles per tax year
Motorcycles 24 pence per mile
Bicycles 20 pence per mile


If a football league or County FA pays you 25 pence per mile travelling expenses, you can claim 40 pence per mile on your expenditure record for the use of a private car against your refereeing income.

This concession only applies to a personally owned vehicle; if you drive an expensed company car or van, the full amount is not claimable and would have to be calculated based on what you actually have to contribute yourself to the car’s running costs....... (Shameless Copy & Pasting but hope it helps)
 
@Sheffields Finest - good post, but a little out of date. The HMRC approved mileage rate is now 45p/mile for the first 10,000 business miles in a year. It must be remembered that this is ALL BUSINESS MILES, so if you have your own business or claim from your employer you have to include those miles in assessing the 10,000 business miles at the initial rate.

And it is a proportion of your mobile telephone bills, not the complete amount. Technically, it can be restricted to the additional costs of using the mobile for refereeing, and since most of us have contracts, there is little additional costs incurred.
 
I was alson under the impression you cant claim laundry as it goes in with your normal laundry that you'd have been doing anyway i.e. no extra costs incurred. Save maybe having to run the tumble dryer a little longer
 
You missed the important word 'newly' retired there Bester. You are allowed to take the first 25% from a private pension as untaxed income, so during that time you can still use your personal allowance to offset any other income you receive.
 
I was alson under the impression you cant claim laundry as it goes in with your normal laundry that you'd have been doing anyway i.e. no extra costs incurred. Save maybe having to run the tumble dryer a little longer

But what about those that don't wash with other laundry?

I have 2 kits I wash, including shirt and trousers used for matches requiring a shirt and tie a weekend. That's 2 shirts, 2 shorts, 2 pairs of socks, 2 towels, warm up top, under shirt, shirt and trousers. Don't get me wrong, I may add a couple of non football t shirts in the wash but I can't realistically add much more. Especially if it rained, and hard, as the clothes will smell more if load is overloaded.
 
I can say with hand on heart that I've never turned a washer on in my life, so can you claim for the expenses of my live in domestic... sorry my wife as I call her when i see her! As she comes with very high additional overheads, needs and demands!!!
 
I can say with hand on heart that I've never turned a washer on in my life, so can you claim for the expenses of my live in domestic... sorry my wife as I call her when i see her! As she comes with very high additional overheads, needs and demands!!!
Do u buy the powder and pay the leccy?
 
Right, time to close. There is no simple answer to us, as it depends on individual circumstances. There is enough general points on this and other threads to provide all the information required.

I also have to protect my profession, as a tax accountant.:smoke::smoke:
 
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