new business

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sole2soul

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Hi all, I am currently setting up as holistic therapist and I am wondering as this is only a parttime hobby am I ok not to be a registered company. Is it possible for me to declare at the end of the year any income? How do I and what are my obligations to do so. I do not imagine I will be in profit as I already have incurred expenses which I need ot reimburse. Any info would be great.
 
A hobby and a business are two totally different things.

Have a read of and this and this for information on starting a new business in Ireland
 
You do not have to register as a company. You can trade as a sole trader. Providing you trade under your own name all you need to do is fill in form TR1. You then have to submit a tax return form 11 each year.
 
You calculate how much tax you have to pay after the end of the calender year.

On what basis are you trying to deem that this is only a "hobby"
 
"hobby" as in up until now I suppose. This will not be a full time venture and I reckon I will find it difficult to recoupe the cost and expenses I have already spent on it. ie. training, equipment, furbishment of therapy room etc.

I am not necessarilly going to go into this venture with the intentions of supplimenting my income. It is merely enjoyment for me. However, I will be charging resonable rates as I do not agree with under valuing myself or my ability.

So I suppose my question is can I just stay at my current status (being employed and paying tax) and at the end of the year just declare any monies from my therapies?
 
As simply joe pointed out, best move would probably to become a sole trader, Fill in your TR1 and do your F11 then every year! Pretty Straightforward, especially if its only small amounts.
 
Sole trader is the way to go initially. Then, if things take off you can view the other option.
 
Definately set yourself up as a sole trader, if you make a loss in year one or two there is no harm. You will not be required to pay tax and you will be able to carry your losses forward.

Otherwise you run the risk of the Revenue going after you and assessing you etc.

I think also mentally it will help to focus you on what you are doing I know you say you are enjoying it etc. but no harm making some money with the idea.
 
Yes as a professional working in this area, a Sole Trader is the way to go for you, especially as it seems to be just a part-time venture. If you wish to trade under a name different from your own, you can register a business name electronically for €20 on the Companies Office website www.cro.ie Good luck!
 
If you make a loss, you can offset that against other income you or your spouse have; could be worth a refund if you've Paye tax paid.
 
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