No tax changes for online sellers
There are no new tax obligations for people selling services or unwanted items online as platforms start sharing sales data with HMRC from January 2025.
- Online platforms to start sharing some user sales and personal data with HMRC from January 2025
- HMRC confirms there are no changes to tax rules for people selling their unwanted possessions online
- Guidance for online sellers can be found on 바카라 사이트
People selling unwanted items online can continue to do so with confidence and without any new tax obligations, HM Revenue and Customs (HMRC) has confirmed.
The reminder comes as online platforms start sharing sales data with HMRC from January 2025 바카라 사이트“ a new process that, when announced last year, generated inaccurate claims that a new tax was being introduced.
But whether selling last year바카라 사이트™s festive jumper, getting some money back for a child바카라 사이트™s outgrown baby clothes, or quietly offloading an unwanted Christmas present or two 바카라 사이트“ absolutely nothing has changed for online sellers.
For anyone who is unsure if their additional income could be taxable just search 바카라 사이트˜online platform income바카라 사이트™ on 바카라 사이트 to use HMRC바카라 사이트™s free online tool or download the HMRC app and go to the 바카라 사이트˜news바카라 사이트™ section under the 바카라 사이트˜communication바카라 사이트™ tab for more information.
Angela MacDonald, HMRC바카라 사이트™s Second Permanent Secretary and Deputy Chief Executive Officer, said:
We cannot be clearer 바카라 사이트“ if you are not trading and just occasionally sell unwanted items online 바카라 사이트“ there is no tax due.
As has always been the case, some people who are trading through websites or selling services online may need to be paying tax and registering for Self Assessment.
The new reporting requirements for digital platforms came into effect at the start of 2024. It is not a new tax and whether people are selling personal items on eBay, renting homes out on Airbnb or delivering takeaways through Just Eat 바카라 사이트“ no tax rules have changed.Â
Those who sold at least 30 items or earned roughly £1,700 (equivalent to €2,000), or provided a paid-for service, on a website or app in 2024 will be contacted by the digital platform in January to say their sales data and some personal information will be sent to HMRC due to new legal obligations.
The sharing of sales data does not automatically mean the individual needs to complete a tax return. However, those who may need to register for Self Assessment and pay tax, include those who:
- buy goods for resale or make goods with the intention of selling them for a profit
- offer a service through a digital platform 바카라 사이트“ such as being a delivery driver or letting out a holiday home through a website
- AND generate a total income from trading or providing services online of more than £1,000 before deducting expenses in any tax year
HMRC wants to help people get their tax right. Anyone unsure whether to complete a Self Assessment tax return for the 2023 to 2024 tax year or not, can check on 바카라 사이트. If new to Self Assessment, they can register on 바카라 사이트.
HMRC is working alongside online platforms to ensure sellers receive clear guidance on their tax responsibilities.
Further information
HMRC recommends that anyone who regularly sells goods or provides a service through an online platform, should find out more about selling online and paying taxes on 바카라 사이트. A link to the guidance will also be available on the HMRC app in the 바카라 사이트˜news바카라 사이트™ section under the 바카라 사이트˜communication바카라 사이트™ tab. This information will help them decide if their activity should be treated as a trade and if they need to complete a Self Assessment tax return.