Advantages of a business account ?

nikkilala_2

Best to transfer your personal account to a business one. If you start from scratch, depending on what you are selling you face restrictions and limits in some categories for a few months.Not ideal when you are starting a new business.

Harry_Flashman

So what are the disadvantages of a Business Account over a Private one?

soolin

Harry_Flashman wrote: »

So what are the disadvantages of a Business Account over a Private one?

We don't get free listing days basically.

Technically business sellers must offer returns, but in reality if a buyer doesn't like something and a personal seller refuses a refund then the seller tends to get poor feedback and poor stars. So most of the time personal sellers refund as well if buyers are stroppy enough.

I suppose there is also the argument that someone registered on ebay as a business is more likely to be picked up by HMRC if they are not properly registered, but all the cases I am aware of were sellers pretending to be private sellers and selling on private accounts.

Harry_Flashman

So a business account should be registered to pay tax?

Hmm - sounds like a big disadvantage to me.

lovinituk

Its not a case of disadvantages/advantages - if you're selling as a business then you should have a business account.

Harry_Flashman

Regardless of should. Can't see anyone registering to pay even more tax than they already do.

Harry_Flashman

And what would the definition of selling as a business be?

I have a full time job (which I regard as my taxable income - only because I can't think of a way of getting out of it though ). I often buy job lots which might have one or two items I actually want with a view to selling the rest on. I do occasionally see an absolute bargain that I know will sell for much more and snap it up.

I wouldn't consider that I'm selling as a business (and if it means the taxman sticking his thieving fingers in my pocket even more, I wouldn't be registering even if I was)

lovinituk

Harry_Flashman wrote: »

Regardless of should. Can't see anyone registering to pay even more tax than they already do.

Well lets hope they get caught and punished accordingly...

https://forums.moneysavingexpert.com/discussion/3294238

Harry_Flashman wrote: »

And what would the definition of selling as a business be?

I have a full time job (which I regard as my taxable income - only because I can't think of a way of getting out of it though ). I often buy job lots which might have one or two items I actually want with a view to selling the rest on. I do occasionally see an absolute bargain that I know will sell for much more and snap it up.

I wouldn't consider that I'm selling as a business (and if it means the taxman sticking his thieving fingers in my pocket even more, I wouldn't be registering even if I was)

If you are buying for the purpose of reselling then by definition you are a business.

I don't like taxes either but I still pay them when they are due.

Hammyman

Harry_Flashman wrote: »

And what would the definition of selling as a business be?

I have a full time job (which I regard as my taxable income - only because I can't think of a way of getting out of it though ). I often buy job lots which might have one or two items I actually want with a view to selling the rest on. I do occasionally see an absolute bargain that I know will sell for much more and snap it up.

I wouldn't consider that I'm selling as a business

Actually yes you are a business. You are buying items with the intention of selling on at a profit. That is what a shop does.

Currently you are guilty of tax evasion. If I were you, I'd start getting it sorted before you get caught by the latest HMRC witch hunt.

Harry_Flashman

Hammyman wrote: »

Currently you are guilty of tax evasion.

Ooooo - does that put me up there with Big Business ???? :money:

I don't think I'll be reporting to the tax office anytime soon over my paltry dealings. It's very rare I buy to sell and the earnings really wouldn't be worth their while investigating.