Ask a tax advisor on the topic of Income tax return

Full-time student with an additional job at events. Business license and income tax return?

July 9, 2013 | 25,00 EUR | answered by Michael Herrmann

Hello,

I am a student and work part-time as a student assistant in an office, earning less than 800€ per month.

I would also like to work irregularly as a hostess at events.

My question is: do I need to apply for a business license for this? Can I then issue invoices for hostess work? Do I need to file a tax return?

Kind regards,

Michael Herrmann

Dear inquirer,

First of all, thank you for your inquiry, which I would like to answer based on the information provided and in the context of your involvement in an initial consultation. The response is given according to the description of the situation. Missing or incorrect information about the actual circumstances can affect the legal outcome.

As a hostess, you only need to register a business if you are actually working independently. If you are bound by instructions, have no changing employers or are only referred by a single agency, you are more likely to be considered an employee. This also applies to irregular and short-term employment. Clients are interested in billing contractors as self-employed for cost reasons. As a student, you may be exempt from all or certain social security contributions.

If you are self-employed, you need to register a business and handle the taxation yourself. You issue invoices and need to prepare a profit determination in your income tax return. If your income exceeds €17,500, you also need to pay VAT. Trade tax is only payable if the profit exceeds €24,500.
Additionally, it would need to be assessed whether health insurance is mandatory.

I hope that these details have provided you with a sufficient overview of the situation in the context of your involvement and this initial consultation.

Best regards,

Michael Herrmann
Diploma in Financial Management (University of Applied Sciences)
Tax advisor