Hello from north wales

[irv]

Hi, was just wondering if anyone can help me regarding tax and Vat on the tower vending??

New to all this and i'm thinking of making an extra income part time as I already have a full time job. Can someone please inform me how much tax and Vat you pay per vend on the sweet towers as i'm not too sure how much profit is in it after stock, commission, vat and tax on the product? how much do people pay themselves when vending a quid a time? I know it's a lot of questions but I just need a heads up before joining you guys in the in the vending world

Cheers

Danny

[Coin Operated Group]

no vat to pay until you hit 65000 turnover.

[irv]

cheers, i guess that won't be happening on a part time basis then.

[Coin Operated Group]

Profits are variable dependent on which stock your buying, give Paul or rob @ hurleys a call they will run through some prices for you.

As a simple example regarding tax issues if you are paying yourself a wage out of the profits then your tax on those earnings will be the same as any other job, if there is a profit after your wages and deductions etc then you would pay some more tax on the profits. Im no accountant though so prob speaking to a professional whom could offer some better advise regarding tax issues.

[david@naughtyvend]

no vat to pay until you hit 65000 turnover.

...it's £77,000 this year I think Matt.

You are certainly better off not being registered for VAT, overall it will add about 10-13% to your GP because in vending the margins are quite high (it's operating cost and commission which will kill you coupled by low turnover sites) but as a part-time operator you will be unlikely to even need to worry about VAT. Your personal tax, easy just keep a ledger of invoices and your commission paperwork and pay tax on your nett at the rate applicable when added to the income of your other job. If married etc remember your allowance is shared so best to seek professional advice.

Don't worry too much about being able to claim VAT back on purchases.

[irv]

cheers for the advice, where do you guys buy your brand new machines from or do you buy second hand from ebay etc? and I was also wondering about vending machines in chip shops as a simple idea but am worried about the language barrier (forgive my ignorance) has anyone come across these problems with chippy's?

Dan

[Coin Operated Group]

From what I remember toys sold better in chip shops, just give it a try money for nothing for the owners of the chip shops.

Towers second hand - Hurleys have them, rockvend, tubz vending, Ebay and sometimes they come up on the forum. Put up a wanted notice and you may get lucky here also gumtree they pop up occasionally.