Is Income Tax due on all income?

[airbolt]

I am not an income tax payer at the moment . I am not receiving benefits and am looking for work.

Is Income Tax ( and NIC ) due on all paid income ?

I ask because
1. I will shortly be doing voluntary driving for a charity and will be in receipt of a mileage allowance ( unlikely to exceed �20 in a week )
2. I had considered signing up for a " mystery shopping" site where mystery shoppers can be paid about �10 to �20 a time. I would do it to get out rather than the income.

I would value any help on this question.

[bensmum]

Unfortunately all income is taxable but there are personal allowances to be offset against this and if you earn less than the allowances you won't pay tax. It sounds as if you will be self-employed rather than on PAYE with a company so I would suggest you keep receipts for any expenses/income and contact your local tax office about self-employed status. NIC also has a threshold

[dzug]

If the mileage allowance is in terms of so much a mile and is less than 40p (roughly - not sure of exact figure) a mile and is not for travel between home and office then it's not taxable.

The mystery shopping income would be count towards your taxable income.

You can in any case earn up to roughly �5000 pa without paying tax.