Do you have to declare income from a car boot sale?

AMS Accountancy are on hand to explain how selling at a car boot sale or on the internet can result in having to register as self-employed. It all depends on whether you are trading. If you sell unwanted presents, or items after moving house etc., you need not tell H M Revenue & Customs about this income.

Do you have to declare earnings from a car boot sale?

For somebody like yourself who has only sold their own unwanted second hand goods on a couple of occasions, HM Revenue and Customs (HMRC) would not deem there to be a trading activity so the income received would not need to be declared on a self-assessment tax return.

Will HMRC know if I don't declare income?

Regardless of the reasons for failing to declare income, HMRC has extensive means to uncover undeclared and under reported income. Their methods have become increasingly sophisticated in recent years, leaving no stone unturned in their search.

Do I have to declare money from selling a car?

You don't pay Capital Gains Tax on: your car - unless you've used it for business. anything with a limited lifespan, eg clocks - unless used for business.

Do you have to tell HMRC if you sell on Vinted?

You need to tell HMRC if: Your Vinted income (combined with other casual sales) exceeds £1,000 in a tax year. You are buying and selling items with the intention of making a profit. You're running a more substantial operation that could be considered a business.

How Much PROFIT Can I Make From a Car Boot Sale?

How much can I sell on Vinted without paying tax?

If the money you make on Vinted over a year is less than what you paid for the items, you pay no tax. The only time that an individual item might be taxable is when you sell it for more than £6,000 and there is a profit from the sale (i.e. it sells for a higher price than you paid for it).

What triggers an HMRC investigation?

Generally, tax investigations are triggered by inconsistencies in tax returns, mistakes, late payments, and tip-offs. A HMRC tax investigation may be triggered by: Lateness in filing tax returns or making payments. Errors on your tax return.

How much personal stuff can you sell before paying taxes?

Personal Allowance: In the UK, the personal allowance is £12,570 meaning you can earn up to this amount across all your income sources without paying tax.

How to declare side hustle income?

Paying tax on your side hustle income is different from the way you normally pay tax on your full-time salary. This time, you'll need to submit a Self Assessment tax return. If you're submitting your first tax return, you'll need to register for Self Assessment (self-employed).

How much can I sell on eBay without paying tax in the UK?

The £1,000 Trading Allowance

It also covers earnings from online platforms like eBay, Depop, or Facebook Marketplace. This allowance applies to income from casual sales, not regular or planned business activities. If you make more than £1,000, you must report your income to HMRC and may need to pay tax.

How much can I earn without declaring income?

You usually get a tax-free Personal Allowance

For the 2025/26 tax year, the standard Personal Allowance is £12,570. Your Personal Allowance is reduced by £1 for every £2 of income you earn over £100,000. So you don't get any personal allowance if you earn over £125,140.

Can HMRC see your bank account?

HMRC can access personal or business bank accounts, but only with reasonable justification. They may use Financial Institution Notices (FINs) or powers under the Direct Recovery of Debts to obtain bank data or recover tax owed, often without needing court or taxpayer approval.

What happens if I forgot to declare income?

You must report this income to HMRC, usually by 5 October following the end of the tax year in which you received it. If you forget or fail to do so, you are committing at best a civil offence and at worst a criminal offence, leaving you open to financial penalties or even imprisonment.

Is it worth doing a carboot sale?

Ask yourself if you need it, want it and whether it's worth it. Above all, when you're out in the fresh air car booting, it's also about having fun. Car boot sales are about buying and selling unwanted stuff, so keep that in mind when you're haggling, or trying to make a sale. The biggest win is the fun of the day out.

Do I have to declare casual income?

If you have casual and/or miscellaneous income above £1,000 then you should include the income after deducting the trading allowance in box 17 on SA100. Please note that if you claim universal credit (UC) then you need to report your actual income and expenses and ignore the trading allowance for UC purposes.

Is boot always taxable?

Since the IRS does not consider boot to be “like-kind property”, it doesn't qualify for tax deferment. This means you need to pay capital gains and other applicable taxes on the value of any boot you receive during your exchange.

Is HMRC warning about side hustle tax?

HMRC is warning those earning extra income through a side hustle to check if they need to register for self assessment and file a tax return. Side hustles can be any additional income stream, from online selling to content creation, from dog walking to property rental.

Can HMRC investigate a gift?

If a property is sold within two years of probate and it fetches a significantly higher price than the probate value, HMRC may decide to open an Inheritance Tax investigation. Gifts are another area that HMRC takes a keen look at. Currently, if you make a gift to someone it is covered by the '7-year rule'.

Does HMRC check Vinted?

In general, selling personal items on Vinted is not taxed.

Even though your Vinted sales are generally not taxed, you still have to submit the HMRC reporting form if you meet the requirements.

What happens if I don't declare a gift?

At a glance:

The gift giver pays any gift tax owed, not the receiver. You don't have to report gifts to the IRS unless the amount exceeds $17,000 in 2023. Any gifts exceeding $17,000 in a year must be reported and contribute to your lifetime exclusion amount.

Does selling personal items count as income in the UK?

These are considered personal possessions, and there's no profit to tax. However, if you sell valuable items, such as antiques, jewellery, or art, and make a profit, you might need to pay Capital Gains Tax (CGT). There is a tax-free allowance of £3,000 (as of the 2024/25 tax year) for gains on personal possessions.

How much can you make on Vinted without paying tax?

The £1,000 Trading Allowance: Your Tax-Free Buffer

The most important thing to understand is the Trading Allowance, a £1,000 tax-free buffer for casual sellers. This means you can make up to £1,000 profit from Vinted sales in a tax year without paying a penny in tax.

What are red flags to HMRC?

HMRC looks for irregularities in your tax returns and financial records. Sudden increases in income, unusual deductions, or late submissions can raise red flags. Claiming expenses that are much higher than normal for your business type may also attract attention.

How far back can HMRC go?

HMRC's investigations can only go back a certain amount of time based on how serious the situation is, as outlined in the table below: Genuine mistakes - investigate back 4 years. Carelessness - investigate back 6 years. Offshore matters/offshore transfers - investigate back 12 years.

How will I know if HMRC are investigating me?

HMRC has the right to check your affairs at any point to make sure you're paying the right amount of tax. If your business is selected, you'll receive an official HMRC investigation letter or phone call in which they'll tell you what they want to look at. This might include things like: the tax that you pay.