You can generally sell on eBay without paying tax if you're just selling personal possessions for less than you paid for them, or if your trading income (buying/making to sell for profit) is below the £1,000 Trading Allowance in a tax year; otherwise, you likely need to report it via Self Assessment. You might owe Capital Gains Tax (CGT) if you sell a single personal item for over £6,000, notes GOV.UK and moneyhelper.org.uk.
Generally, only business sellers trading for profit might need to pay tax. If you're selling unwanted personal possessions, such as used clothes, an old mobile phone or unwanted furniture, it's very unlikely you will have to pay income tax.
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.
How much can you sell on eBay as a private seller in the UK?
eBay does not have a set limit on how much a private seller can sell in terms of total value. If your total sales on eBay exceed a certain amount (usually around £1,000 per year), you are considered to be trading and need to register with HMRC as self-employed.
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.
eBay's 2025 selling rules focus on payment holds for untracked items (UK), new tax reporting thresholds for sellers (US/UK), and tighter buyer/seller performance standards, with increased data sharing with tax authorities (HMRC in the UK), emphasizing high-quality listings, and potential buyer fees for services like "Simple Delivery". Sellers face stricter payment processing (14-day holds if untracked), new tax reporting (US $20k/200 txns, UK data sharing), and performance metrics like "Bad Buyer Experience" (BBE).
We review your account every month and adjust the limits automatically based on your volume of sales and the Feedback you've received from buyers. We may end any listings that you have created over your existing limit.
Why is HMRC Targeting Online Marketplace Sellers? New rules that came into force in January 2024 require digital platforms to report data about the income earned by their users to HMRC. The first reports were delivered to HMRC by 31 January 2025.
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 many items can you sell on eBay as a beginner?
Went from 10 listing/sold limit as a new seller to 18 listing/sold limit after exhausting the first 10 in about a week and selling one or two items during that first week.
After a buyer wins an auction or commits to buy an item, we send emails reminding them to pay for the order 24 hours and 48 hours after the listing ended. You can also get in touch with your buyer - opens in new window or tab to remind them.
Registration of new accounts in order to circumvent sales limits on eBay is prohibited. In this case, all of your accounts may be suspended indefinitely. If you have more than one seller account, you may also be able to raise your limits by linking to your other, more established seller account.
Sellers do not pay transaction fees when the item sells. This applies to all categories, except motors (Cars, Motorcycles & Vehicles listings). You can list up to 300 items for free each month; after that, you'll pay 35p per listing.
The short answer is a resounding yes, and the reasons why might surprise you. Despite the competition, eBay continues to be a powerhouse. As of the first quarter of 2025, the platform boasts 134 million active buyers and around 18 million sellers, with nearly 2 billion live listings at any given time.
How much can you sell on eBay before HMRC need to know?
However, if you sell items worth more than £1,000 over the year, you will need to tell HMRC by registering for Self Assessment. So, it's a good idea to keep track of how much you're earning, and if you think your income is over £1,000 contact the HMRC for advice.
as said in the video, tax rules havent changed - if you are selling your own personal items (household, hobby collections or equipment, clothing), whatever the number or value, there will be no tax to pay & nothing to declare. Only if you buy & sell for profit is it to be declared & possibly taxed - like always.
Between confusing fee changes, delayed payments, and strict listing rules, it's becoming harder and harder to sell without feeling squeezed out. Is anyone else thinking of switching to another platform?
The risks. Fraudulent buyers claiming refunds from PayPal by claiming non-delivery, goods not as described or received damaged. Not being paid for items that have been despatched.
Selling on eBay is a fantastic way to start or grow your eCommerce business, offering flexibility and access to a massive global audience. Easy-to-sell items include Print on Demand products, electronics, books, and pet supplies, which are lightweight, affordable to source, and in high demand.
