Recently lost job and Etsy shop

stressed out

Hi everyone.
I recently lost my job. I don't really mind so much as it was so stressful and I'm glad it's gone. I wish I had gotten another before I was laid off, but whatever.

Anyway my question is this - I have an Etsy shop. It's only open a month or so. I made the grand sum of €12 on a few things that were sold. I fully want to make more money from this and am promoting it.

I have to speak to the social welfare next week about my claim. I don't think I'll get Jobseekers Benefit as I was in college for the qualifying year, so it will be Jobseekers Allowance.

Anyway what will happen if I tell them about my shop? Will they expect me to pay tax/prsi on my earnings? Or will they tell me to close it down?

Thanks

Freddy Smelly

stressed out wrote: »

Hi everyone.
I recently lost my job. I don't really mind so much as it was so stressful and I'm glad it's gone. I wish I had gotten another before I was laid off, but whatever.

Anyway my question is this - I have an Etsy shop. It's only open a month or so. I made the grand sum of €12 on a few things that were sold. I fully want to make more money from this and am promoting it.

I have to speak to the social welfare next week about my claim. I don't think I'll get Jobseekers Benefit as I was in college for the qualifying year, so it will be Jobseekers Allowance.

Anyway what will happen if I tell them about my shop? Will they expect me to pay tax/prsi on my earnings? Or will they tell me to close it down?

Thanks

you will need to have a vat account if your selling stuff in a shop so yes they will know that you have a shop

Jellybaby1

May I ask if an Etsy shop, is different to someone just selling a couple of handmade items they made? I think you need to earn over a certain amount before you would be liable for tax anyway. I don't know how much that amount is but may be around €1200-ish.

Pacing Mule

Freddy Smelly wrote: »

you will need to have a vat account if your selling stuff in a shop so yes they will know that you have a shop

Wrong - You only have to register for VAT if your turnover exceeds a certain threshold. OP's turnover is clearly under this threshold.

OP - if you have registered as a business then you would have to declare this as part of your claim. (This would be registered as trading as opposed to VAT registration) However be aware that it will complicate things substantially with your application as things like accounts etc will be looked for as part of a means test for JSA.

To qualify for JSA you need to be full time looking for and available for work and promoting the web store would be considered to be contrary to this. If it is only in it's absolute infancy, not already registered and under the registration thresholds I'd be inclined to wait and inform them only if / when it becomes a proper qualifying business. Best of luck with it.

stressed out

Thanks for the replies. Yes you need to earn €35,000 (or thereabouts) to be registered for VAT. Some companies aren't VAT registered, suggesting they earn less than this.

Freddy Smelly I will inform them when it becomes a proper business. TBH I don't even see much of that €12 when you add in Etsy's fees, paypal fees and ads. So it's only pennies I'll be earning starting off.
Thank you

Balagan

For Jobseekers Allowance you are means tested and that entails giving details of all your income, however small, and signing a declaration that the information you supply is correct and complete.

Pacing Mule

Balagan wrote: »

For Jobseekers Allowance you are means tested and that entails giving details of all your income, however small, and signing a declaration that the information you supply is correct and complete.

Hypothetical situation. Should and would you declare you sold a jumper on eBay the previous month and that you are intending to sell another one this month when applying ?

AlmightyCushion

Pageant Messiah wrote: »

Hypothetical situation. Should and would you declare you sold a jumper on eBay the previous month and that you are intending to sell another one this month when applying ?

If you are selling it on for a profit then you should but if you are just getting rid of some old stuff you no longer use then I imagine you don't need to but mention it just to be on the safe side.

cee_jay

OP, on making your claim, you make a legal declaration to SW that the information you supply is true. Hiding any information could have financial and legal implications for you in future.
Advising SW of this income will have very little impact on your claim and would not complicate things substantially.
Hypothetical situations do not help in anyway.

Mod Note: Posters are advised to acquaint themselves with the forum charter re: fraud. Hiding information from Social Welfare is not advised.