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HMRC new online selling rules for eBay and Vinted sellers explained
New rules require platforms like Vinted, eBay, and Etsy to report sellers with 30+ sales or £1,700 in sales, increasing HMRC oversight of online trading income.
- From this year, HM Revenue and Customs requires platforms like Vinted, eBay and Etsy to report seller data when users complete 30 or more transactions or exceed £1,700 in sales over 365 days.
- HMRC uses platform data to match against tax records to identify sellers exceeding the £1,000 HMRC trading allowance, potentially triggering tax inquiries.
- Keep clear records and review sales history to ensure you stay below the £1,000 trading allowance, considering deductible expenses like postage, packaging, and platform fees.
- As people declutter this spring, increased reporting means more casual sellers could become visible to HMRC and may receive reminder letters or face further enquiries, while tax experts advise that most genuine declutterers should review profit not total sales.
- If your online selling has become a steady side income, the article advises sellers to check if they trade with the intention to make a profit and review their position throughout the year.
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