Benefits, ebay and HM Customs Compliance letter

ejc81

verybadtimes wrote: »

Yesterday we both received letters from HM Revenue and Customs Local Compliance department stating that they have information that we have other income that we are not declaring and should be submitting tax returns. The letter asks for information from 2005 including ebay ‘Trading Name’ and 'Trading Address'. We have a personal ebay account which coincidentally was opened in 2005 and have around 600 feedbacks from both sellers and buyers.

Did you each get a letter individually? Or was it one letter addressed to both of you?
I'm just thinking that if you have a personal ebay account surely it will only be in one of your names ie you or your OH....in which case you would think that only one letter would be sent ie to the one of you who had the ebay account. Or have you both got ebay accounts?

verybadtimes

SuziQ wrote: »

All I can say is that 600 items bought and sold seems rather a lot,but I suppose over a number of years you can explain that away.`Did you resell items you had purchased on ebay? Maybe they have looked into any of those and found you made a profit on the sale? I know a number of friends have done that and I doubt it ever occured to them (or me for that matter) that you had to pay tax on those.

Thank you.

I can't think of any item that I have bought on ebay and resold on ebay.

verybadtimes

johnwayne wrote: »

Its not really that high a number especially as it is for items bought and sold over 5 yrs. You would only have to buy a couple of things a week to get up to that amount on buying alone.

I dont personally buy that much but can see how easily it could be done;)

How many of them were for buying and how many for selling?

Thank you.

I have just checked and the feedback is 422 sold and 209 bought.

verybadtimes

missmontana wrote: »

What else does it ask for?

Thank you.

1. Date of commencement/cessation of each period of employement since 2005 to date.

2. A note of any previous address at which you have lived within the last 4 years.

3. In respect of any period of self employment:

(i) Nature of Trade and eBay trading name.

(ii) Business address

(iii) Date of commencement (including casual/contract work)

NB: If you fail to register within the first 3 full months of self-employment you may be liable to a penalty of £100.

4. Name and address of the payer of any pension and the date it began.

5. If you have received any state benefit within the last four years - the type, dates of receipt and name and address of the Benefit Office providing the payments.

6. If you currently have any rental income (or have had in the last 6 years) in UK or abroad, please state property address, date of first letting and date of acquisition.

verybadtimes

ejc81 wrote: »

Did you each get a letter individually? Or was it one letter addressed to both of you?
I'm just thinking that if you have a personal ebay account surely it will only be in one of your names ie you or your OH....in which case you would think that only one letter would be sent ie to the one of you who had the ebay account. Or have you both got ebay accounts?

We both received individual letters. We have only one ebay account but its in both our names as in Janet and John Smith.

missmontana

The way I read it is that eBay is just one of the options of being self employed and is only part of what they want to know.