Sales On Ebay Are They Taxable?

[weecalf]

Was there some suggestion that sellers on ebay might be in breach of taxation rules .Is selling on ebay countered as earnings and so taxable .If the money go to bank account then the interest is tax does this cover it .Does not apply to me but different one stated they were concerned about this and were thinking of giving up their accounts with ebay.

[horseshoes]

I understand that it's OK to sell things you own but as soon as you "buy to sell", that's when it becomes taxable.

[weecalf]

Heard something like that .Grey area but they were concerned .

[RATTER15]

I think that it would be that anything you sell on Ebay with the intention of making a profit would be taxable, large or small.

I dont think it is much of a grey area to be honest!

[horseshoes]

You can always phone HMRC. They don't bite.... they're actually very helpful.

[hc4361]

It's not a grey area, it really is straightforward.

If you are selling your own items that you no longer want then the profits are not taxable.

If you are buying goods to sell, either new or second hand, you are trading and should declare it to the taxman.

Interest on your bank account is irrelevant.

[factor-fiction]

If you sell an old £30 dress for £10 then there is no profit. If you buy 10 cheap dresses for £5 each and sell them for £10 each that could be regarded as trading and the profit could be taxable, but unless it's on a larger scale than this or done regularly I doubt you will be pursued for tax by HMRC

[ToraToraTora]

bear in mine also that the taxable income should be added to other income for the year and taxed accordingly so essentially you can earn the tax free threshold on Ebay if for example you have no other income.