VAT for a website?

Hello there,

I'm a PAYE worker. In my spare time I've started to design websites.
I'm not registered for anything relating to VAT etc.
My first customer has asked me for an invoice.
What do I do in this case? Can I generate an invoice?

Please advise.

Thanks in advance.

If you earn less than a specific threshold from activities outside the PAYE system, you do not need to register for VAT (I think its 35k per annum), BUT you CANNOT charge VAT and you must report the income for PAYE purposes at the end of the tax year and you will have a liability for tax and possibly PRSI on the income.

Keep meticulous records and seek the advice of a qualified tax adviser / accountant. You can offset these costs against tax.