A reminder on the telly news again, Side Hustling, £1K limit before they want to tax you again on something you already paid vat on when you bought it … when you sell it if you have gone over their prescribed ceiling of £1K….
HMRC
- Thread starter finnbear270
- Start date
Probably an attempt to stop me profiteering on the re-sale of VARGET as part of my pension plan!
K
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Side Hustle: making pin money on the side / outwith your employment / pension. Platforms such as ebay Amazon & possibly even our own classifieds????
Morkai
Well-Known Member
Selling stuff on the side, like picking up bargains at carboots and flipping them on ebay for double the price.
Ebay, Vinted etc will have to pass user seller info to HMRC so they know who to go after.
Morkai
Well-Known Member
You'd most likely already be doing a tax return.
I think if you turn over about £1700.
The details are online.
Are you self employed or employed
J.kerslake
Well-Known Member
Presumably the same way you would be when you’re self employed, they’re going to be relying on people doing a self assessment for it…yeah good luck!
Maybe I’m retired? Or unemployed? Would it make a difference?
If its a personal item none of this applies. However If you sold it at a profit from the original purchase then its a capital gain and taxed as capital gain but can be relieved subject to annual cgt allowance (£6000 for 2023-24 tax year).
If you purchased it and sold it on with the intention of making a profit then it is taxed as income. And as self employed allowances on gross income over £1000 in any tax year you would be subject to a self assessment tax return you would be required to complete one.
Worth noting i’m not an accountant but this is my understanding of the rules which i believe to be correct.
Tax would only be on ‘profit’ or capital gain if not exempt. I assume this tax is on traders rather than those having a clear out …. Burden of proof would be onerous and likely to get nuked in election campaign anyway.
It's the Vinted / ebay people they've targeted and both websites are going to report your sales to HMRC once you earn over 1k in a year.
Too many muppets spouting look at my tax free wad to the papers and Facebook so taxman said we'll have some of that cheers
Too many muppets spouting look at my tax free wad to the papers and Facebook so taxman said we'll have some of that cheers
Morkai
Well-Known Member
It's pretty much all e-commerce websites.
So in other words, HMRC are chasing people for tax that they owe. That’s good. Maybe HMRC will use some of that money to refund those of us who overpaid tax and are still waiting for a refund !!
Bo Diddley
Well-Known Member
It would be jolly good if HMRC chased the larger tax dodgers like Google & Amazon... but I guess these corps employ folks more switched on and snappier than HMRC 
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