strange semi official ebay statement

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  • iammumtoone
    iammumtoone Posts: 6,377 Forumite
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    Why is it UK law that sellers use ebay business accounts?

    It is law that they comply with trading rules re returns etc and that they complete a tax return, but why does it have to be a business account to so this?

    From April hubby business will no longer have to complete tax returns if they sell under the threshold, what advantage would a business account be to them.
  • soolin
    soolin Posts: 72,207 Ambassador
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    Why is it UK law that sellers use ebay business accounts?

    It is law that they comply with trading rules re returns etc and that they complete a tax return, but why does it have to be a business account to so this?

    From April hubby business will no longer have to complete tax returns if they sell under the threshold, what advantage would a business account be to them.

    It's all to do with misrepresentation , a person trading as a business should not hide that fact from a buyer as buyers rights differ depending on what type of seller they buy from.

    Admittedly most prosecutions mentioned tend to be in the motor Vehicle trade with traders selling from their homes and masquerading as private when in fact they are running a business.
    I’m a Forum Ambassador and I support the Forum Team on the eBay, Auctions, Car Boot & Jumble Sales, Boost Your Income, Praise, Vents & Warnings, Overseas Holidays & Travel Planning , UK Holidays, Days Out & Entertainments boards. If you need any help on these boards, do let me know.. Please note that Ambassadors are not moderators. Any posts you spot in breach of the Forum Rules should be reported via the report button, or by emailing forumteam@moneysavingexpert.com.All views are my own and not the official line of MoneySavingExpert.
  • iammumtoone
    iammumtoone Posts: 6,377 Forumite
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    soolin wrote: »
    It's all to do with misrepresentation , a person trading as a business should not hide that fact from a buyer as buyers rights differ depending on what type of seller they buy from.

    Yes I understand that hence why a business seller under a non business account would have to sell cheaper to get the public to buy as their rights will be easier to force with a business account.

    But as long as the seller states in the description that they accept returns etc then I don't see why it couldn't be done. It would then be up to the buyer whether they trusted the seller or they could choose to purchase from a business seller.

    Personally as a buyer I will always pick a business seller over a private one and am prepared to pay a bit more to do so. I don't think many business it will work for them under private accounts, but those thinking of starting a hobby business this year I think it is useful to have the choice.
  • soolin
    soolin Posts: 72,207 Ambassador
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    Yes I understand that hence why a business seller under a non business account would have to sell cheaper to get the public to buy as their rights will be easier to force with a business account.

    But as long as the seller states in the description that they accept returns etc then I don't see why it couldn't be done. It would then be up to the buyer whether they trusted the seller or they could choose to purchase from a business seller.

    Personally as a buyer I will always pick a business seller over a private one and am prepared to pay a bit more to do so. I don't think many business it will work for them under private accounts, but those thinking of starting a hobby business this year I think it is useful to have the choice.

    Sellers don't have a choice though any anyone relying on the comment made on the PS board is likely to face real issues as it is not inline with eBay's published rules and the terms and conditions we all agree to when we sign up.

    That's really the point of this thread to show how poorly ebay staff understand their own rules.
    I’m a Forum Ambassador and I support the Forum Team on the eBay, Auctions, Car Boot & Jumble Sales, Boost Your Income, Praise, Vents & Warnings, Overseas Holidays & Travel Planning , UK Holidays, Days Out & Entertainments boards. If you need any help on these boards, do let me know.. Please note that Ambassadors are not moderators. Any posts you spot in breach of the Forum Rules should be reported via the report button, or by emailing forumteam@moneysavingexpert.com.All views are my own and not the official line of MoneySavingExpert.
  • soolin
    soolin Posts: 72,207 Ambassador
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    The ebay rules are covered briefly here:

    https://ocsnext.ebay.co.uk/ocs/sc

    Here's what we found for "Business selling on eBay"
    eBay business accounts are available to new and existing sellers. You should set up a business account if you:
    Sell items that you've bought to resell
    Make items yourself and sell them, intending to make a profit
    Sell a large volume of goods on a regular basis
    Buy items for your business
    You can change your personal eBay account or register a new business account.
    Business sellers must also adhere to!our User Agreement.

    I have highlighted one requirement that is not in line with HMRC rules where volume is immaterial.

    slightly more detail here:

    http://pages.ebay.co.uk/help/sell/business/businessaccount.html

    On a private account things like business address is not required.(which is a UK legal requirement)

    As a business seller, you will need to provide additional details to the buyers in all your listings. Some of this information is mandatory from a legal perspective.
    In the EU, special ecommerce laws require business sellers, who sell items over the internet, to provide their customers with information about their identity in their contact information and contain further details that may be important to complete the transaction. You can display this information in all of your listings. Please see the contact information policy for options to include your contact information.
    I’m a Forum Ambassador and I support the Forum Team on the eBay, Auctions, Car Boot & Jumble Sales, Boost Your Income, Praise, Vents & Warnings, Overseas Holidays & Travel Planning , UK Holidays, Days Out & Entertainments boards. If you need any help on these boards, do let me know.. Please note that Ambassadors are not moderators. Any posts you spot in breach of the Forum Rules should be reported via the report button, or by emailing forumteam@moneysavingexpert.com.All views are my own and not the official line of MoneySavingExpert.
  • iammumtoone
    iammumtoone Posts: 6,377 Forumite
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    soolin wrote: »
    Sellers don't have a choice though any anyone relying on the comment made on the PS board is likely to face real issues as it is not inline with eBay's published rules and the terms and conditions we all agree to when we sign up.

    That's really the point of this thread to show how poorly ebay staff understand their own rules.

    Yes I did think that under ebays rules all businesses must be under a business account and thats fine, their site they can set whatever rules they like.

    It was the statement that UK law says sellers must have ebay business accounts that I was querying.
  • soolin
    soolin Posts: 72,207 Ambassador
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    Yes I did think that under ebays rules all businesses must be under a business account and thats fine, their site they can set whatever rules they like.

    It was the statement that UK law says sellers must have ebay business accounts that I was querying.

    The law does not dictate what each individual site requires from a seller , it is up to a seller to make sure they are compliant. One of the legal requirements is to openly display contact details, ebay only apply this to sellers registered as a business. Other sites, like Amazon, apply it to all sellers and if you buy something from a marketplace seller you will be able to see their address.
    I’m a Forum Ambassador and I support the Forum Team on the eBay, Auctions, Car Boot & Jumble Sales, Boost Your Income, Praise, Vents & Warnings, Overseas Holidays & Travel Planning , UK Holidays, Days Out & Entertainments boards. If you need any help on these boards, do let me know.. Please note that Ambassadors are not moderators. Any posts you spot in breach of the Forum Rules should be reported via the report button, or by emailing forumteam@moneysavingexpert.com.All views are my own and not the official line of MoneySavingExpert.
  • samkma
    samkma Posts: 129 Forumite
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    Having a look at the PS boards it seems, both the ebay employees who responded to the thread did so on the same day and almost at the same time 5pm!
    eBay is going down at the moment and the Shop price increase is just to satisfy their shareholders, who just as sellers are very worried the way the site is being managed. The search "Cassini" is the killer - think they have rolled the same search to gumtree, the search does come up with things that have no connection wtih the search terms, they should have stuck with the old system. All improvements made are throwing up loads of glitches everyday, seems they have to shut the site for refurbishment and write the programme again instead of trying to patch things up, its proved not to be working for the last 2 years. Sellers are being pushed to the edge now.
  • TKPeters
    TKPeters Posts: 1,877 Forumite
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    I guess Kristen will be looking for a new job
    thanks for your comments- there are a lot of additional benefits to being a business seller, such as access to more advanced tools, services and platform features. So while transactions stay on eBay either way, whether the seller is private or business, we find that many sellers decide when their business reaches a certain size, it makes sense to upgrade. They naturally want access to more ways to cross-sell, promote their items and and grow their sales on-site. We do our best to support business sellers to do this!
    Of course it's up to each individual seller whether it makes sense financially and otherwise to be a private seller, business seller, to have a shop, etc. Everyone's cost margins are different.
  • Brooker_Dave
    Brooker_Dave Posts: 5,196 Forumite
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    samkma wrote: »
    The search "Cassini" is the killer - think they have rolled the same search to gumtree, the search does come up with things that have no connection wtih the search terms, they should have stuck with the old system.

    Gumtree searches now include a load of ebay stuff.

    Gumtree seems to be dead anyway, but being taken over by ebay won't have helped though.
    "Love you Dave Brooker! x"

    "i sent a letter headded sales of god act 1979"
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