Kids, who would have them

Graeme Registered Posts: 4 New contributor 🐸
Thanks to those who answered my previous thread, but apparrently it is my fault my daughter only told me half a story, this is what she has been trying to establish.

I really need some advice and as I don't have an accountant at present I thought I'd ask here...

I went back into freelancing 2 months ago (I'm a web & graphic designer). I'm taking work from clients in the creative industry and due to the fact that most of them sell goods online their preference is to pay me using Paypal.

I ran a business a few years back (ecommerce website) and got into trouble with Paypal as I had a couple of chargebacks when waiting for stock.
Having recently tried to set up a Paypal account for my freelance work I have been shut down and linked to the old account.
Paypal simply will not do business with me again even though no money is outstanding which makes life very difficult for me as my business depends on it.

My only option temporarily has been to use a close relative's Paypal account. As the £2000 limit is approaching whereby you have to declare your business credentials I want to rectify this situation.

I have discussed this with the Paypal account holder and they have offered to set up a business account in their name to draw the Paypal funds into.
I will then draw the funds from the business account into my personal account and submit my annual self assessment.

Before setting things up I need to make sure that everything is above board. Basically I need to check whether the person who owns the business bank account needs to submit anything tax wise (as I'm paying any tax owing and submitting returns) and would we both need to inform HM Revenue that we are self employed even if Im the only one working for the business?

For information the business account holder is currently in full time employment and will possibly be moving over to a civil service pension in the next 5-10 years. I wouldn't want this person to risk losing their pension eligibility due to the business account.

I would really appreciate any help or advice on this situation or alternatively point me in the right direction.



Me being the long suffering civil servant


  • burg
    burg Registered, Moderator Posts: 1,441 mod
    Why not get a virtual card machine. Much cheaper than paypal anyway?!

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