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 – a new process that, when announced last year, generated inaccurate claims that a new tax was being introduced.
But whether selling last year’s festive jumper, getting some money back for a child’s outgrown baby clothes, or quietly offloading an unwanted Christmas present or two – absolutely nothing has changed for online sellers.
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 – no tax rules have changed.
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.
You may need to file a tax return if:
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 – 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.