Do you have to pay tax on selling second-hand goods in the UK?

In the UK, you generally do not pay tax on selling personal, second-hand items (like old clothes or toys) if you are simply clearing out your home. Tax becomes due only if you are "trading" (buying/making items to sell for profit) and exceed a £1,000 annual trading allowance, or if you sell single personal items for £6,000+.

Do you have to pay tax on second-hand goods in the UK?

It's only if you've sold a single personal item or collection for more than £6,000 that you need to tell us. As you might have to pay something called Capital Gains Tax. Still unsure? Use our quick tool on GOV.UK to find out if you need to tell us and what to do next.

How much can I sell second-hand before tax?

You will need to tell the HMRC if: you sell more than the 'Trading Allowance' of £1,000 (before deducting expenses). sell a personal item for £6,000 or more, in which case you may be liable for Capital Gains Tax.

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

We want to give you peace of mind that there's no new 'side hustle tax' or a change to existing tax rules for selling online. In general, selling personal items is not taxed if they're below £6,000 and you're not selling as part of a business.

How much can I earn on Vinted without paying tax?

You can generally sell on Vinted without paying tax if you're just clearing out personal items for less than you paid, but if you're buying to resell (trading), you can earn up to £1,000 in profit/income tax-free under the UK's Trading Allowance before you need to tell HMRC. This £1,000 limit applies to your total income across all selling platforms, not just Vinted. Above this, you must register for Self Assessment, though you only pay tax on profits above the allowance. 

Do you pay tax when you sell your house UK?

Do I have to pay tax on selling personal items?

If you're selling personal possessions you probably do not have to pay Income Tax on these.

What happens if I sell more than 30 items on Vinted?

If you sell over 30 items or earn £1,700 (approx. €2,000) on Vinted in a year, the platform will share your details (name, address, NI number) with HMRC for the UK, but this doesn't automatically mean you owe tax; it's to identify potential trading businesses, not casual selling of personal items, so you might get a letter asking for clarification, and you'll need to respond if you've been making a profit.

Do I need to report Vinted income?

Once you pass the threshold of $400 in sales on Vinted, you're responsible for paying income tax. Since you're an independent contractor (which is a fancy way of saying that you're not a W-2 employee), the taxes are not automatically deducted from your paycheck. Instead, you'll have to handle them yourself.

What happens if I sell more than 30 items on eBay?

As a UK resident, when you sell over £1,707 or more or complete 30 or more sales transactions within a calendar year, eBay is obliged to report certain personal or business information to HMRC in accordance with the UK digital sales reporting legislation. eBay will notify you when you have crossed these thresholds.

Can HMRC investigate a gift?

While there are strict rules around the amount you can gift each year, undeclared or wrongly declared gifts may trigger HMRC scrutiny.

Can you sell items as a hobby?

This is a very popular misconception - the reality is that any online or offline selling activity in which the main motive is to make a profit is deemed by the IRS to be a business - this applies no matter how much you are making in revenue.

How much money can you earn without declaring?

I heard that I don't need to do anything until I'm earning over £3,000? That's not true. If you're earning over £1,000 from side hustles, you'll still need to tell HMRC. At the moment, you tell HMRC by doing a Self Assessment tax return.

How much can you sell second-hand before tax?

Everyone has a tax-free trading allowance of £1,000. Whether you're a company or a sole trader, this allowance allows you to earn up to £1,000 in trading income without needing to report it to HMRC. As mentioned above, you will only be expected to pay tax if you go above this threshold.

Does Facebook Marketplace report to HMRC?

Accurate record-keeping is essential, as official reports from HMRC emphasize the importance of tracking income and being able to provide report details if requested. Remember that Facebook doesn't report your sales to HMRC, but that doesn't mean they're invisible.

How much money can you earn from a hobby before paying tax in the UK?

What is the tax free trading allowance? HMRC introduced it as a tax free allowance to cover “self-starters” with small, hobby-based businesses. It means that you can earn a total of £1,000 from self-employment in a tax year, before you even need to report it to HMRC or pay tax on the income.

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

Yes, you must declare eBay sales to HMRC if you're "trading" (buying to resell or making items for profit) and your income exceeds the £1,000 Trading Allowance in a tax year; selling personal, used items you owned usually doesn't count, but selling for a profit does, and HMRC now receives data from platforms like eBay, so accurate record-keeping is crucial to avoid penalties.

What is the 5000 rule on eBay?

The Reporting Threshold for eBay Sales

As a platform, eBay is required to issue Form 1099-K to sellers who generated more than a certain threshold. Under updated IRS rules, this threshold has a lowering trend. The mentioned threshold is $5000 for 2024 and $2500 for 2025. It is planned to be reduced to $600 for 2026.

Is there a maximum you can sell on Vinted?

Vinted has no soft selling limits for personal items, but platforms must report sellers to HMRC (UK tax authority) if they make over 30 sales OR earn over €2,000 (£1,700 approx.) in a calendar year, triggering potential tax obligations if you're seen as trading for profit, not just selling unwanted goods. Selling personal used items for less than you paid is usually tax-free, but buying to resell (trading) over the £1,000 tax-free trading allowance (or £1,000 property allowance) means you must register for Self Assessment and pay tax on profits. 

How to avoid Vinted tax?

Selling your personal items on Vinted is generally not taxed. In the UK, if the money you make on Vinted over a year is less than what you paid for the items, you pay no tax.

What are red flags on Vinted?

Most fake buyer scams start with a friendly and eager message saying they want to buy your item right away. They often ask to move the conversation off the Vinted app, suggesting email, WhatsApp, or text instead. While this might seem easier, it's actually a big warning sign.

Can you sell second hand on Vinted?

Vinted has fast become the go-to platform for buying and selling preloved items, offering people a more sustainable way to shop. Thanks to its easy-to-use app, you can quickly sell items online and connect with a community of buyers looking for second-hand fashion at affordable prices.