I got an HMRC letter about online selling — what does it mean?
Had an email or letter saying Vinted, eBay or Depop has shared your details with HMRC? Take a breath — it's almost certainly not the bill you're dreading. Here's what's actually going on.
Why you got it
Since January 2024, UK online platforms are legally required to report seller information to HMRC. They have to report anyone who, in a year, sells 30 or more items or receives around £1,700 (€2,000) or more. If you crossed that line, the platform sends your details to HMRC and gives you a copy — that's the message you received.
Crucially, lots of people who get reported owe nothing. The threshold is just the point at which platforms must share data; it isn't the point at which tax is due.
Do you actually owe anything?
Two questions decide it:
- Are you trading? Selling your own used belongings (clothes, old gadgets, kids' stuff) generally isn't taxable, even in large amounts. Buying or making things to sell for profit is.
- Are you over £1,000 in sales? Traders get a £1,000 tax-free Trading Allowance each year, measured on total sales (not profit). Under it, usually nothing to report. Over it, you'll likely need to register for Self Assessment.
If you're a casual seller clearing out your home, you can usually relax. If you're flipping for profit and over £1,000, read on.
Run your numbers in the free calculator →What to do next (if you are trading and over £1,000)
It's a simple process once you know the steps: register for Self Assessment by 5 October, wait for your UTR number to arrive by post, then file and pay by 31 January. We walk through each step — with the exact dates — here:
See the step-by-step walkthrough →Frequently asked
Is this letter a fine or a tax bill?
No. It's a notification that your data was shared with HMRC. Any tax owed depends on your own circumstances, not the letter itself.
I only sold my own old stuff. Do I need to do anything?
Usually not — selling your own used belongings isn't taxable trading. Keep a note of what you sold in case HMRC ever asks, but you generally have nothing to declare.
Could the message be a scam?
Possibly — scammers copy HMRC. Never click links or share bank details from an unexpected message. Check directly via the official HMRC app or GOV.UK instead.
How do I work out if I owe?
Use the free calculator — pop in what you've sold and it tells you where you stand in seconds.