View Full Version : Is it OK to do this?
Not ever having had to claim it, I wondered if there are any Jobseeker experts on here who can tell me if the following scenario is within the rules to draw Jobseekers Allowance and housing benefits.
I know of at least 3 people in Caithness who draw Jobseekers,family allowance and housing and council tax benefits and at the same time run their own side line of buying and selling used cars. They all seem to buy cars around £2000 and do a bit of work on them and sell them on for around £3000.They usually only have 3-4 cars at any one time and keep them on drives or on the road outside their houses. Now, as some of them do, if they manage to sell 1 car a month and rake in £1000 profit and get their benefits on top then they are "Earning" more than most working people and not paying income tax or NI contributions.
Do the DWP allow this to happen and let them get benefits as well?...Does anyone know the rules for this activity?
C3........:eek::eek:
Walter Ego
09-Jul-11, 15:05
Not ever having had to claim it, I wondered if there are any Jobseeker experts on here who can tell me if the following scenario is within the rules to draw Jobseekers Allowance and housing benefits.
I know of at least 3 people in Caithness who draw Jobseekers,family allowance and housing and council tax benefits and at the same time run their own side line of buying and selling used cars. They all seem to buy cars around £2000 and do a bit of work on them and sell them on for around £3000.They usually only have 3-4 cars at any one time and keep them on drives or on the road outside their houses. Now, as some of them do, if they manage to sell 1 car a month and rake in £1000 profit and get their benefits on top then they are "Earning" more than most working people and not paying income tax or NI contributions.
Do the DWP allow this to happen and let them get benefits as well?...Does anyone know the rules for this activity?
C3........:eek::eek:
Illegal. Unless they are declaring their business and submitting all their income when they sign on.
Illegal. Unless they are declaring their business and submitting all their income when they sign on.
Although I don't doubt you're right, there must be a very fine line between "business income" and things that you don't have to declare.
Totally against the rules, grass on them to DWP, wonder if they are locals or Soouth Moouthers, any idea, perhaps Walter will know.!![lol]
If someone buys and sells cars from home, it should be declared. A neighbour 40 years ago did just that, got reported, and was fined, even though he regarded it as a hobby. Selling your own possessions doesn't count, but buying to sell on does.
These people should be reported. After all, it's the people who are in legitimate employment who are subsidising those who receive benefit, whether they are entitled to it or not.
NickInTheNorth
09-Jul-11, 16:14
If they are buying them to re-sell then they would be in breach of the rules on earnings.
They would also be in breach of the CIVIC GOVERNMENT (SCOTLAND) ACT 1982, which requires second hand car dealers to be licenced:
http://www.highland.gov.uk/businessinformation/licensing/civicgovernmentlicensing/civ-gov-lic-2nd-hnd-vehc-dlrs.htm
In addition they would be in breach of the planning regs if they are conducting a car sales business from their house.
But if no one reports them nothing will get done...
Thanks for all your reply's, deep down I thought it must be against the rules/ law but I didnt know for sure. I suppose if they only have one car at a time to sell then getting proof/evidence must be hard but when they blatantly have 3-4 cars at a time for sale then I would say its a business!
I suppose it's just one of the many "moonlight" trades that go on while the person enjoys life being subsided with benefits.
C3.....[disgust][disgust]
Don't know about cars but with horses if you sell 4 or more a year you are classed as a dealer and not only do you lose your benefits, you have to pay income tax on your profits...
Out on a tangent here, but when we applied for planning permission to build our bungalow with a 5 car garage. (we had quite a few classic cars back then) the council believed we were going to set up in the motor trade without telling them. We had to send them copies of the V5's along with a signed statement that we actually owned the cars, and were not setting up in business. Even then, we had a hard time convincing them.
well as they are planning to make you start taxing your car even if it is off road.. should put read to that *G*
northener
09-Jul-11, 19:40
well as they are planning to make you start taxing your car even if it is off road.. should put read to that *G*
If your car is not in use (ie: sat on your drive for months), then you have to SORN it or tax it. SORN doesn't cost you anything and will stop the DVLA chasing you for Road Tax avoidance...which will happen if you don't declare it off-road.
NickInTheNorth
09-Jul-11, 19:43
well as they are planning to make you start taxing your car even if it is off road.. should put read to that *G*
What they are planning on doing is making you insure it unless it is SORN
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