Non payment of fees

**venus89** · 11-05-2012, 03:49 PM

I have a child finishing at the end of the month. Parents, friends of mine, will probably owe £1000, they've had a horrible run of luck and simply can't afford to pay right now or for the foreseeable future. Not being able to afford child care is part of the reason she's leaving her job.

He's a landscape gardener and I need my garden tidying up so my plan is for him to effectively pay in labour rather than money. I can't imagine there's a problem with that but just want to check that it's not illegal?

**Ripeberry** · 11-05-2012, 04:02 PM

Sounds like a good idea. Can't see how it could be illegal. But personally I would never had let it get that bad...£1000!

**marnieb** · 11-05-2012, 04:11 PM

for £1000 I'd want the garden taken care of for the rest of the year!!!!!!!!!!!!!!!!

**venus89** · 11-05-2012, 04:19 PM

It's a complicated situation. I'm working on the principle that I'll possibly never see the money, the gardening would be some kind of return, though not as much as is owed. And as its not income I guess it's not taxable and won't affect tax credits - making the best out of a bad situation!

**mum2two** · 11-05-2012, 04:22 PM

I can't imagine it's illegal either. It's your business, and up to you how you charge parents - you choose from their line of work!

Like you said - it's better than getting nothing!

xx

**funemnx** · 11-05-2012, 04:59 PM

I don't know about the legality of it but I've done something similar. Years ago a family I cared for left owing nearly £500. The dad ran his own taxi company and I asked if he could do an airport run for my hubby, collecting others on the way and then pick them up. It didn't cover the whole amount but I was happy to write the rest off as I wouldn't have got paid any other way. They were a lovely family and we were all happy so why not?

**Bridey** · 11-05-2012, 05:26 PM

I would keep this arrangement very quiet as it could be seen as tax fraud if anyone decides to report it!

My mum told me that years ago after my dad did some work for a jewellers shop YEARS ago and we were all taken to choose ourselves a nice piece of jewellery each

**venus89** · 11-05-2012, 08:43 PM

Thanks all and thanks bridey, that's why I was asking, because it almost feels fraudulent! And it's not, I'd rather have my money, I could do the garden myself and then some with a grand...... But anything is better than nothing and I'm not going to take my friends to court for my money. But yes, I won't be shouting about it!

**Chimps Childminding** · 11-05-2012, 10:05 PM

Not really sure, but can't see how it can be tax fraud!! If they owe you money, but can't afford to pay it you then by doing jobs for you instead

I don't know I'm confusing myself, but I can't see how thats a problem!! You won't be putting any money through your books, and won't be paying the landscape gardener so

I'm off to bed its been a long day

**stargazer1** · 12-05-2012, 08:15 AM

Surely its only tax fraud if you have had the money and hidden it? But you havent had the money so I cant see how it would be classed as fraud. I think I would probably do the same as you, I really cant imagine ever taking anyone to court unless it really was a last resort. And even this, if they dont have the money, you will end up getting about £5 a week for about 30 years!

**madmamma** · 12-05-2012, 08:20 AM

I would ask Mr Anchovy about this one, more to cover yourself should something come up in the next 6 years (as that's how long we need to keep accounts)

I can see the logic of it, however I'm sure there's a legality side to it.

Best to make sure

Edited to add: Post the same question in the bookeeping and accounts section so he sees it

**caz3007** · 12-05-2012, 02:10 PM

I thought trading skills which is what that is really, would be allowed. Its like doing a favour surely

**Chimps Childminding** · 12-05-2012, 02:25 PM

Originally Posted by madmamma

I would ask Mr Anchovy about this one, more to cover yourself should something come up in the next 6 years (as that's how long we need to keep accounts)

I can see the logic of it, however I'm sure there's a legality side to it.

Best to make sure

Edited to add: Post the same question in the bookeeping and accounts section so he sees it

Good idea!!!

**venus89** · 13-05-2012, 08:00 AM

Originally Posted by madmamma

I would ask Mr Anchovy about this one, more to cover yourself should something come up in the next 6 years (as that's how long we need to keep accounts)

I can see the logic of it, however I'm sure there's a legality side to it.

Best to make sure

Edited to add: Post the same question in the bookeeping and accounts section so he sees it

I will, thankyou x