I'm not sure there is an issue as far as I am aware. I am effectively a part time trader but don't make money from it but don't lose money either.If you are not a trader, I can't see how you could even attempt to buy a trader policy.
Misrepresentation is a serious offence effectively meaning the insurance is null and void. If you are a limited company they can check at Companies House and the Register of Persons with Significant Control, your registered address, your VAT number if registered for VAT, ask you to submit the past year's trading account as part of due diligence and so on.
Try comparison sites for multi-car policies and shop around. But with that number of cars it is going to be a considerable element of ownership costs - try also classic car policies - see Modern Classics magazine for the ads for such insurance brokers, as well as limited mileage policies.
That is a big list of cars you own.
What is the tax declaration thing?Agreed, I have bought and sold about 7 or 8 in the last year and never really considered a trade policy for the obvious tax declaration reason. I'm in a good position to be able to borrow my mates trade plates when I want to collect and move cars etc....
I'm not sure there is an issue as far as I am aware. I am effectively a part time trader but don't make money from it but don't lose money either.
What us the misrepresentation? Everything is declared, I've completed all forms honestly & accurately.
There is a difference in your interpretation (on the face if it and without knowing your setup) of *effectively* being a trader and if HMRC will interpret it that way. Assuming by *effectively* you mean a sole trader and not a limited company then the rules are clear: They include that you must have a name for the business and it can be your own name, that it must be listed on correspondence and invoices/receipts for sales and enquiries; you must register the business for Self Assessment and pay tax on any profits; you must pay Class 2 NIC's and of course register for VAT if your turnover (not profits) exceeds the limit where registration is not required (£85,000 I think). In addition you are required to keep meticulous records to support your annual filings to HMRC for their assessment if tax on profits is due as well as to support any HMRC tax enquiry.
If you have been doing all this and are still doing these, then you are a trader. There is no word in the law or HMRC such as *effectively a trader* - you must prove you are and the rules are laid out clearly. The misrepresentation occurs when/if one says they are something that they are not.
What is the tax declaration thing?
Are you insured on your mates trade plates? I would check. I have trade plates & have to add/register them to my policy. Unless you are insured under his trade insurance you won't be insured with his plates under your insurance. You may well be but worth checking if you haven't.
I'm afraid your mistaken on a few points here. I'm more than happy with my position thanks & happy to stay the way I am. There is no issue here.There is a difference in your interpretation (on the face if it and without knowing your setup) of *effectively* being a trader and if HMRC will interpret it that way. Assuming by *effectively* you mean a sole trader and not a limited company then the rules are clear: They include that you must have a name for the business and it can be your own name, that it must be listed on correspondence and invoices/receipts for sales and enquiries; you must register the business for Self Assessment and pay tax on any profits; you must pay Class 2 NIC's and of course register for VAT if your turnover (not profits) exceeds the limit where registration is not required (£85,000 I think). In addition you are required to keep meticulous records to support your annual filings to HMRC for their assessment if tax on profits is due as well as to support any HMRC tax enquiry.
If you have been doing all this and are still doing these, then you are a trader. There is no word in the law or HMRC such as *effectively a trader* - you must prove you are and the rules are laid out clearly. The misrepresentation occurs when/if one says they are something that they are not.
Excellent, good work. Just wanted to check you were OK. I know your no numpty so expected you to be fine. Just wanted to make sure....looking out for you that's allYes I am registered on their trade plates.
If you want it a little more concisely....I AM NOT A TRADER....tell that to Mr HMRC.There is a difference in your interpretation (on the face if it and without knowing your setup) of *effectively* being a trader and if HMRC will interpret it that way. Assuming by *effectively* you mean a sole trader and not a limited company then the rules are clear: They include that you must have a name for the business and it can be your own name, that it must be listed on correspondence and invoices/receipts for sales and enquiries; you must register the business for Self Assessment and pay tax on any profits; you must pay Class 2 NIC's and of course register for VAT if your turnover (not profits) exceeds the limit where registration is not required (£85,000 I think). In addition you are required to keep meticulous records to support your annual filings to HMRC for their assessment if tax on profits is due as well as to support any HMRC tax enquiry.
If you have been doing all this and are still doing these, then you are a trader. There is no word in the law or HMRC such as *effectively a trader* - you must prove you are and the rules are laid out clearly. The misrepresentation occurs when/if one says they are something that they are not.