by Asim Abbas
11 November 2026 
Do you pay tax selling on eBay, Vinted or Etsy?
Do you pay tax selling on eBay, Vinted or Etsy?
Since 2024, online marketplaces like eBay, Vinted, Etsy and Amazon have had to send HMRC details of sellers who pass certain limits. That’s left many people worried about tax on their sales.
- Selling your own unwanted items usually isn’t taxable
- Buying to resell or making items to sell is trading
- Trading income over £1,000 means a tax return
- Platforms report sellers with 30+ sales or about £1,700 a year
The good news is that clearing out your wardrobe or loft isn’t taxable trading. But buying to resell, or making things to sell, usually is.
This guide explains when you need to pay tax, what platforms report and what to do next.
What platforms report to HMRC
Under the digital platform reporting rules, platforms collect and share details of sellers who make 30 or more sales or receive about £1,700 (€2,000) or more in a calendar year. Being reported doesn’t mean you owe tax. It means HMRC may check whether you should have declared income.
Are you trading or decluttering?
HMRC looks at the pattern of your activity, sometimes called the badges of trade.
- Probably not trading: selling clothes, toys or furniture you bought for yourself, usually for less than you paid
- Probably trading: buying items to sell at a profit, making crafts to sell, regular repeat selling, sourcing stock
Sam sells 60 items of her own old clothes on Vinted for £900. That’s not trading. Jo buys vintage clothing at car boot sales and resells it for £8,000 a year with £3,000 of costs. Jo is trading, with a £5,000 profit to declare.
eBay and online seller tax calculator
Check whether your selling is taxable.
The £1,000 trading allowance
If your total trading income from all sources is £1,000 or less in a tax year, you don’t need to tell HMRC. If it’s more, you register for Self Assessment and either deduct £1,000 or your actual costs, whichever is better.
Selling valuable personal items
Selling a single personal item for more than £6,000 at a profit could mean Capital Gains Tax, even if you’re not trading. This mainly affects collectibles, jewellery and art. Cars are exempt.
Fixed-fee accountancy support
Transparent monthly packages for sole traders, landlords and limited companies. Fixed fees agreed upfront, VAT included.
Get a fixed-fee quoteCall 0161 531 4179What about VAT?
If your taxable sales go over £90,000 in a rolling 12 months, you must register for VAT. Marketplaces have extra VAT rules for overseas sellers and goods imported into the UK. See our VAT services.
If you think you should have declared income
Register for Self Assessment by 5 October after the tax year you started trading. If earlier years were missed, it’s better to tell HMRC before they contact you, as penalties are lower. Our side hustle tax returns and late tax returns services can help. HMRC’s guidance is on GOV.UK.
What should I do next?
Personal items or stock?
Across every platform.
Over it means a tax return.
Our side hustle service starts from £150.
Frequently Asked Questions
Does Vinted report me to HMRC?
Vinted, like other platforms, reports sellers with 30 or more sales or about £1,700 of sales a year. That doesn’t mean tax is due.
Do I pay tax selling my old clothes?
No, not if you’re selling your own personal items, usually at a loss. That isn’t trading.
What if I sell crafts I make?
That’s trading. If your income from all trading is over £1,000 in a year, you need to register and file a tax return.
Can I deduct eBay fees and postage?
Yes, if you’re trading. Fees, postage, packaging and stock are allowable expenses.
Do I need to register for Self Assessment?
Yes, if your trading income is over £1,000, by 5 October after the end of the tax year.
Need help with this? Wingate Accountants offers fixed-fee online accountancy support across the UK. Call 0161 531 4179 or request a quote at wingateaccountants.co.uk.
About the Author
Ali Imran
I’m Ali Imran, an accountant at Wingate Accountants. I help sole traders, landlords and directors get their returns filed early and accurately, without the last-minute panic.
