£1000 Allowance

tmen

I am a collector/hoarder & have decided to thin down my collections & not leave a problem for my heirs to sort out.

A friend says if I sell more than £1000 worth in a tax year that I have to declare it to HMRC. I have looked on the HMRC website & there is a section on "Tax free allowances on property and trading income" which mentions a £1000 allowance, but I don't think this applies to me as I not buying items to sell I'm just selling stuff I already have. Can somebody confirm this please

Thanks

Tmen

Sandtree

You are liquidating your personal possessions and so wont have to declare it as business activity. 

The only possibility is if the items have increased in value you potentially could become liable for capital gains tax (Capital Gains Tax on personal possessions - GOV.UK (www.gov.uk)) if they are worth more than £6k each and even then you have an annual allowance of £12k or so normally.

tmen

Yes they are just personal possessions and no where near £6K

Thanks Sandtree for your advice