Tax and NI split thread

AndrewJB

youth_leader said:

I haven't listed on ebay since the rule changes as I am anxious about this, let us know what happens.  I have noticed many many Facebook pages  have popped up recently selling clothing,  'Preloved Boden' etc and the prices are high, some sellers asking for payment by Paypal goods and services.  Good luck.

I would imagine those that breach the thresholds will receive a letter from HMRC notifying them of the regulations regarding trading. If they’re just selling old personal possessions, they won’t have to do anything.

Some will be picked out and asked for further details. The thresholds are very low; a lot of private sellers will exceed them, so that’s most likely to apply to those selling larger amounts over multiple years.

HMRC are trying to track down those who are not declaring businesses and paying tax. I really wouldn’t worry about it unless you are trading.

TimeLord1

Facebook Marketplace is also required to send its seller information to HMRC, so no difference regardless. Lots are selling via Instagram. Think that's a hustle, but again, owned by Facebook. It's best just to sign up for self-assessment and use QuickBooks. It isn't all paying out. 

dinosaur66

as of 2028 i think it is  you will also have to flll out MTD ( making tax digital ) quarterly returns to hmrc if you sell on ebay not sure how low the threshold for this will be £3000 ?

i have an ebay shop and have been sent a letter by HMRC this week requiring me to sign up to MTD for april 2026

over 50k turnover threshold for 2026

i think i saw 30k threshold for 2027

i have done pen and paper bookeeping accounts and tax returns for 40 years so will have to learn and now pay for  online digital accounts 4 / 5 times a year to HMRC

RFW

dinosaur66 said:

as of 2028 i think it is  you will also have to flll out MTD ( making tax digital ) quarterly returns to hmrc if you sell on ebay not sure how low the threshold for this will be £3000 ?

i have an ebay shop and have been sent a letter by HMRC this week requiring me to sign up to MTD for april 2026

over 50k turnover threshold for 2026

i think i saw 30k threshold for 2027

i have done pen and paper bookeeping accounts and tax returns for 40 years so will have to learn and now pay for  online digital accounts 4 / 5 times a year to HMRC

There are quite a few websites that link to HMRC for filing that fulfills MTD. Essentially you can just do your pen and paper numbers as before but upload the final figures via a form on one of these websites and they automatically send it to HMRC.

I've used anna.money but others are available, They offer free trials and then the uploads are just a few pounds.

Pollycat

dinosaur66 said:

as of 2028 i think it is  you will also have to flll out MTD ( making tax digital ) quarterly returns to hmrc if you sell on ebay not sure how low the threshold for this will be £3000 ?

i have an ebay shop and have been sent a letter by HMRC this week requiring me to sign up to MTD for april 2026

over 50k turnover threshold for 2026

i think i saw 30k threshold for 2027

i have done pen and paper bookeeping accounts and tax returns for 40 years so will have to learn and now pay for  online digital accounts 4 / 5 times a year to HMRC

As a private seller or a business?

AndrewJB

Pollycat said:

dinosaur66 said:

as of 2028 i think it is  you will also have to flll out MTD ( making tax digital ) quarterly returns to hmrc if you sell on ebay not sure how low the threshold for this will be £3000 ?

i have an ebay shop and have been sent a letter by HMRC this week requiring me to sign up to MTD for april 2026

over 50k turnover threshold for 2026

i think i saw 30k threshold for 2027

i have done pen and paper bookeeping accounts and tax returns for 40 years so will have to learn and now pay for  online digital accounts 4 / 5 times a year to HMRC

As a private seller or a business?

Making Tax Digital for Income Tax is just for sole traders (self-employed businesses) and landlords at the moment. It doesn’t affect those selling personal possessions.

soolin

Pollycat said:

dinosaur66 said:

as of 2028 i think it is  you will also have to flll out MTD ( making tax digital ) quarterly returns to hmrc if you sell on ebay not sure how low the threshold for this will be £3000 ?

i have an ebay shop and have been sent a letter by HMRC this week requiring me to sign up to MTD for april 2026

over 50k turnover threshold for 2026

i think i saw 30k threshold for 2027

i have done pen and paper bookeeping accounts and tax returns for 40 years so will have to learn and now pay for  online digital accounts 4 / 5 times a year to HMRC

As a private seller or a business?

If the question was directed at dinosaur66 then they are a business as they already prepare accounts. I too am old school and despite my accountancy background, also prepare my own accounts in paper books (yes I’m that old). Luckily I’m winding down my business so currently have escaped the need for MTD and unless the reporting limits to switch to MTD get seriously lowered over the next few years will probably have retired before it becomes a necessity. 

soolin

TimeLord1 said:

Facebook Marketplace is also required to send its seller information to HMRC, so no difference regardless. Lots are selling via Instagram. Think that's a hustle, but again, owned by Facebook. It's best just to sign up for self-assessment and use QuickBooks. It isn't all paying out. 

Again worth reiterating no need to sign up for any book keeping schemes if returns aren’t required due to not being a business. 

Pollycat

I think this thread is getting confusing because it was started by a private seller but some posters have introduced points such as:
paying monthly for a shop
self assessment
using quickbooks
MTD ( making tax digital ) quarterly returns to hmrc

Private sellers (I am one) are finding this bad enough without comments being posted that do not impact us.
Soolin is trying to keep the thread on track.
It would be great if anyone posting about trading/business are very clear abut who that refers to (or better still, please don't muddy the waters for private sellers).

soolin

Pollycat said:

I think this thread is getting confusing because it was started by a private seller but some posters have introduced points such as:
paying monthly for a shop
self assessment
using quickbooks
MTD ( making tax digital ) quarterly returns to hmrc

Private sellers (I am one) are finding this bad enough without comments being posted that do not impact us.
Soolin is trying to keep the thread on track.
It would be great if anyone posting about trading/business are very clear abut who that refers to (or better still, please don't muddy the waters for private sellers).

Very good point Pollycat thank you, I have looked at trying to split the thread but am not sure which posts to leave and which to move to a new thread. I’ll take a better look later when I have more time and try to leave just the on topic posts here.