A Mandalorian’s Money: Din Djarin’s Tax Situation
30th October 2020
At RIFT, we’re used to handling tricky tax situations for people in some of the most dangerous professions out there. From construction and offshore worker to security guards and Armed Forces members, our customers take on the toughest jobs. So, when Mandalorian bounty hunter Din Djarin parked his Razor Crest gunship behind our Covid Secure Ashford base we knew straight away that we could help.
RIFT: Thanks for coming in, Mr. Djarin. Please, do sit down - and feel free to set your... armoured floating pod anywhere. Thanks also for observing our strict social distancing policy, and for wearing a mask - which, of course, is mandatory.
DJ: It's pronouned "Mandalorian". So, I wanted to talk through my taxes. They seem kinda... astronomical.
RIFT: Yes, well I understand that your end of the universe has been going through a few regulatory changes since the, uh... [checks notes] death of Emperor Palpatine and subsequent ascendency of the New Republic.
DJ: Whatever. I try not to involve myself in politics.
RIFT: Not to worry. We always make a point of staying up-to-date on the latest changes in tax regulations. You’d describe yourself as self-employed, yes?
DJ: I’ve taken on longer contracts in the past, but I work freelance these days, primarily through the Bounty Hunter’s Guild.
RIFT: Hm – we’ll have to check into your employment status there. If the guild’s classifying you as self-employed, but you’re essentially working as if you were a full employee, then you could run into some nasty trouble with the IR-35 rules. No worries, though. We’ll make sure you’re being classified correctly and sort out your taxes either way.
DJ: I’d appreciate that. An HMRC death-mark’s not an easy thing to live with.
RIFT: No problem. You can actually claim back your overpaid tax for up to 4-years, so if it turns out you were employed previously but moved into self-employment, we can still get back what you’re owed. We’ll also make sure you’re registered for Self Assessment – which you’ll need to be even if you’re an employee, because it looks like you’ll be claiming well over the £2,500 expenses threshold for that. Are these travel records accurate?
DJ: Yup. Bounty hunting puts a lot of light years under your wheels.
RIFT: Well, during your employee days, you could claim AMAP rates of 45p per mile for the first 10,000 miles of work travel during a year. After that the rate drops to 25p per mile. For your freelance jobs, you’ll be counting your travel expenses against the profits you’re being taxed on. The numbers we’re talking here are... well, they’re going to be very large. What other kinds of expenses do you have? How about equipment, specialised clothing, things like that?
DJ: Well, my armour is mostly Beskar steel, so that’s pretty pricey and needs a lot of upkeep and repair. I use an Amban sniper rifle for a lot of my long-distance work, but it takes a pretty wide variety of gear to do what I do. My jetpack alone involves...
RIFT: Excuse me – did you say jetpack?
DJ: Yup - it’s nothing fancy, but it’s pretty good for short hops. I’m saving for an upgrade to the kind that fires rockets.
RIFT: Sounds like I’m in the wrong line of work. Okay, so your armour and helmet are obviously essential PPE. Weapons and survival gear will all count as work expenses too. On top of that, you can claim for any necessary professional fees and subscriptions – so we’ll take a look at your Guild membership while we’re at it. Now, let’s talk about this pod you wheeled in here. What’s the story with that?
DJ: [opening up the pod] It’s a foundling. Picked it up at a Nikto mercenary encampment on Arvala-7. That makes it my responsibility.
RIFT: Riiight. So... you’re its official guardian, then?
DJ: This is the way.
You don’t need to be flying in from a galaxy far, far away to claim tax relief on your work travel. Whether you’re self-employed or on PAYE, talk to RIFT about squaring up with HMRC. When it comes to tax refunds, RIFT is the way.