The Sudbury Chamber of Commerce is sharing important updates from HM Revenue and Customs (HMRC) to reassure our members and their networks: there are no new tax rules for online sellers.
Key Information
Starting in January 2025, online platforms such as eBay, Airbnb, and Just Eat will begin sharing some user sales and personal data with HMRC. While this may sound alarming, HMRC has confirmed that this is not a new tax, and no additional obligations apply to individuals selling personal items like old clothes, toys, or unwanted gifts.
If you are occasionally selling unwanted items online, you can continue to do so without worrying about any new tax liabilities.
Who Needs to Pay Attention?
Although there are no tax changes, some online sellers may already need to register for Self-Assessment if:
- You buy or make goods specifically for resale.
- You offer services through a platform, such as delivering food or renting out a holiday home.
- Your total income from trading or services exceeds £1,000 in any tax year before deducting expenses.
In January, individuals who sold 30+ items or earned £1,700 (€2,000) or more in 2024 will be contacted by their digital platform to inform them that their sales data will be shared with HMRC. However, this does not necessarily mean you need to complete a tax return.
HMRC’s Support for Sellers
If you’re unsure about your tax obligations, HMRC offers an online tool and guidance via the HMRC app and GOV.UK. These resources can help you determine if your activity is taxable and if you need to register for Self-Assessment.
HMRC is working with online platforms to ensure sellers receive clear information about their tax responsibilities.
Stay Informed
The Sudbury Chamber encourages members engaged in online sales or services to:
- Visit the GOV.UK online platform income tool to check tax obligations.
- Review HMRC’s app under the “news” section for guidance on selling online.
- Contact HMRC directly if you have questions or need further clarification.
For members regularly trading online or providing services, staying compliant with existing tax rules is essential. The Chamber is here to support you with resources and expert connections if you need advice.
Let’s continue building a secure and transparent environment for businesses and individuals alike. If you have any questions, please get in touch with us for guidance.
