Ebay have upgraded me to business...i only sell my own stuff!

Mrs_justjohn

FidgitsID wrote: »

If a seller is a genuine private seller, why do anything that can let the tax people go "ahh but you did this ....so you must be a business... why would you continue to sell as a business (ie accepting returns, displaying address etc etc) if you were not a business, you accepted ebays business account change etc"

Because you don't have a choice if they wish to continue to sell on ebay....perhaps they don't get a lot of returns and deem that having a 'business' account on ebay makes no difference to them.

FidgitsID

Do you honestly belive that HMRC would simply accept the sellers statement that they are not a business as fact, ignoring the fact that they continued to sell on an account that no longer displayed the sellers "true" status.

Of course they wont, just as they dont take business sellers word if using "private" accounts as fact. There would have to be an investigation of some sort first. What genuine private seller would want to go through that just because ebay has incorrectly decided its a business ?

Mrs_justjohn

HMRC will use whatever they can get hold off against you to prove you owe them tax....


However if the OP is only selling second hand (and a smattering) of new clothes, all her size, and shoes (all one size), and has receipts to show that she has bought them 18 months ago and then listed them on ebay as she hadn't worn them...then that is more likely to prove she is a private seller than ebay designating her account as 'business'. Like I said you can't appeal their decision so if you wish to continue to sell then you have to accept it.


Of course if the Op is buying clothing of all sizes and selling them on ebay within 3 days of the date on the receipts then that would imply she is buying to resell....


HMRC look at FACTS, ebay deciding your level of sales warrants them changing your account status is their opinion not FACT.

Mrs_justjohn

I have seen people on here that have been selling off their own (or inherited) collections. Sometimes 1000's of items and ebay have made them change to a 'business' the fact remains that they are private sellers in the eyes of HMRC as they are not buying to resell.

FidgitsID

Mrs_justjohn wrote: »

HMRC look at FACTS, ebay decidin your level of sales warrants them changing your account status is their opinion not FACT.

I was not speaking about the OP specificaly, just in general.

But I think you are missing the point, yes they look at facts, but to get the facts there is an investication of some sort. So Ill ask again why would any genuine private seller want to possibly put themselves through that experience, just because of ebays mistake ?

Mrs_justjohn

FidgitsID wrote: »

I was not speaking about the OP specificaly, just in general.

But I think you are missing the point, yes they look at facts, but to get the facts there is an investication of some sort. So Ill ask again why would any genuine private seller want to possibly put themselves through that experience, just because of ebays mistake ?

I don't think any seller (genuine private or not) wants to go through an HMRC investigation but ANYONE can be investigated...whether they are on ebay with a private account or business....you seem to be stating that if you are a private seller on ebay then this somehow protects you from an investigation. If that were the case then the business sellers that sell through a private account (and squirrel away the money) would be 'safe'.


and I will say again....If ebay decide to upgrade your account there is no choice in the matter you either accept that is THEIR OPINION and carry on selling KNOWING that you are not avoiding tax obligations or you stop selling altogether. For some sellers ebays decision will make little or no difference to them so will choose to carry on.

FidgitsID

No that is not what Im saying, perhaps im not making it clear, but not sure how else to put it, so will leave it here.

theonlywayisup

FidgitsID wrote: »

No that is not what Im saying, perhaps im not making it clear, but not sure how else to put it, so will leave it here.

However you put it isn't relevant.

eBay and HMRC don't operate by the same rules, thank goodness.

Mrs_justjohn

FidgitsID wrote: »

No that is not what Im saying, perhaps im not making it clear, but not sure how else to put it, so will leave it here.

"Accepting" ebays decision when there isn't actually a decision as you can not appeal it in anyway, has no bearing on whether HMRC will expect you to pay tax. They only expect you to pay tax when you are running a business ...not when ebay 'think' you are.

FidgitsID

Good grief, I thought the ebay forums had blinkered views, if you both stopped trying to be "right", and tried to see the common sense point I was trying to make, you might have followed it.

I know ebay/hmrac have different standards, BUT its also perfectly obvious to anyone with a bit of common sense that by accepting ebay decision and continuing to list on a "business" account & therefore acting like a business with return policy/showing address etc, that it weakens any sellers position of "I'm not a business" if they are ever looked at.

But I guess common sense is not so common these days :rotfl:

Anyway this was not my only point, and overall, if they had ever tried to make me misrepresent myself as a business and therefore deceive my buyers, I would not have done it, guess it comes down to what people think is acceptable behaviour.

To me misrepresenting the sellers status as a business by the wrong account type is simply unacceptable and morally wrong. That goes for buisness seller using private acc AND private seller using business acc, both give the buyer the wrong true status of the seller.