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Ebay and Tax Credits

(31 Posts)
MyLatestFuckUp Fri 12-Aug-16 09:44:39

I can't believe how stupid I have been! I have been hanging on to mountains of children's clothes intending to sell them on ebay. I left my husband, burned through my savings (becuase I didn't want to go on benefits), then claimed tax credits. Now of course I can't ebay the stuff, or I could, but any money will be knocked off the tax credits as it is income.

We are only talking about £150 or so, that I could sell the stuff for. I have had it lying around the house since I moved in. Why couldn't I just have sold it ages ago? I bought all the stuff full price when I was married and had a good income.

Somebody said to sell it on Gumtree for cash but I live in the sticks and nobody would come and collect. There is an active FB selling page but then somebody would probably report me to tax credits for selling stuff. It would be dishonest either way.

Through my own laziness I have deprived myself of money I could really do with. I increased my hours at work but my pay last month was less than half what I expected. I still have this tax credits investigation going on and I will need to wait about 6 months for a decision on whether I have to pay it all back.

I am going to take it all to the charity shop tomorrow. I am trying to think of it as freeing up £150 of space in my home.

DurhamDurham Fri 12-Aug-16 09:47:26

That's not strictly true, as long you aren't buying items to sell on Ebay or making things to sell on there it will not be classed as income. You're having a clear out and £150 will not picked up by HMRC, they have bigger fish to fry.

ThoraGruntwhistle Fri 12-Aug-16 09:50:06

I'm pretty sure people claiming tax credits can still sell old clothes on eBay.

AndNowItsSeven Fri 12-Aug-16 09:52:24

Of course you can sell stuff on eBay, it's not classed as income of 1) it's not a business and 2) the item were used by yourself ie not purchased at car boots to sell on.

MyLatestFuckUp Fri 12-Aug-16 09:55:06

I have been told by tax credits it still counts as income. An ordinary person earning a salary would not have to declare it as income, as the items were bought new and sold on not as a business, but a person in receipt of benefits would have to declare it and have their benefits adjusted accordingly.

ThisUsernameIsAvailable Fri 12-Aug-16 09:57:47

That makes no sense, unless you're setting up a business buying clothes and selling on eBay tax credits shouldn't be affected confused

QuinnsNo1Lady Fri 12-Aug-16 09:59:25

Do you have a 'friend' on ebay who could sell it for you?

Piemernator Fri 12-Aug-16 10:00:22

Surely it's a one off selling and not a business If you were doing this constantly and making 150 a week then it would be an issue. Be aware I know sweet FA about benefits.

Mrs5boys Fri 12-Aug-16 10:04:02

I sell things on eBay here and there and so do lots of my friends ,,,, I once made around £200 in one month on there and neither me or anyone I know have ever had any problems at all ! If you have a PayPal account the money you make goes in there not your bank so then you can just use the PayPal balence to buy other things online !

AndNowItsSeven Fri 12-Aug-16 10:09:19

You have either misunderstood, or the tax credit advisor was wrong or most likely they thought you were running a business.

SpinMill Fri 12-Aug-16 10:11:31

Seriously, sell the stuff on eBay, it will be fine. As others have said as long as you're not buying stuff with the intention of selling it on there's no issue. You are still an "ordinary person" even though you claim tax credits.

MyLatestFuckUp Fri 12-Aug-16 10:20:04

I phoned tax credits to ask about a cheque for £100 I received for my birthday. I was told I could not accept that cheque without declaring it and hving my tax credits reduced. That's when I asked about the selling of old clothes. I have no way of proving I bought them new anyway, as they were paid for from the joint account which I no longer have access to, and I haven't kept receipts from all that time ago.

I don't feel like an ordinary person. I feel like I should have a scarlet letter tattooed on me. My family still treated me like a parasite when I was a SAHM, dunno what they would have to say about all this if they found out.

OP whoever you have asked has told you a total load of rubbish. Can't accept a cheque?! LOL

Why do you even phone to ask them!

Are you really meaning tax credits (because totally not relevant) or the job centre regarding job seekers? I'd imagine the latter as they are the only benefits where people would enquire about such things.

Even so, selling something that is your property has no effect at all on benefits. Unless it's something like a house!!!

Stop being daft and sell it

ThoraGruntwhistle Fri 12-Aug-16 10:27:14

I can't imagine why you would phone up to check that you're allowed to accept a birthday present. That is not income. It's a gift.

Lagirafe Fri 12-Aug-16 10:28:12

You're not making any profit on the things you're selling on eBay as presumably you bought them all new. Therefore there is no problem.

As for the £100 birthday cheque that's complete nonsense. I do wonder who HMRC have working for them sometimes hmm

notarehearsal Fri 12-Aug-16 10:28:59

Just get a new ebay account. Change name and, if necessary, address details.

MyLatestFuckUp Fri 12-Aug-16 10:31:04

No, I mean tax credits. I have not claimed anything other than Child Tax Credits and Working Tax Credit. I am also claiming Child Benefit. I have to be totally transparent with them as I am already being investigated by Concentrix for a fraudulent claim. I claimed Child Tax Credit, then when I increased my working hours I claimed Working Tax Credit, then within about 6 weeks of me claiming Working Tax Credit I received the letter saying I was being investigated.

MaybeDoctor Fri 12-Aug-16 10:40:22

I am pretty sure that HMRC does not count selling personal household goods as income.

Please sell it - don't be frightened off by the word of one person.

What you have been told is wrong. You are allowed to sell your belongings, it is nothing to do with anyone and I don't even know why you asked.

It's likely that they got the wrong end of the stick and thought you meant regular selling, as in a business, because nobody would phone and ask if they are allowed to sell their own possessions...

Why are you being investigated for fraud?

MyLatestFuckUp Fri 12-Aug-16 10:45:24

I have received the letter from Concentrix saying the have evidence I may be living with another adult. Clearly I am not, and it is a standard letter, but it is hard to prove a negative. I have sent off all the evidence they asked for, but I will now have to wait 6 months to find out if I have to pay it all back.

You won't wait six months.

It's something they do often, had it myself.

As long as you have provided everything they have required then you'll get a letter in a few weeks telling you all is ok.

AndNowItsSeven Fri 12-Aug-16 10:53:10

You are allowed to receive say a 50k inheritance cheque and it wouldn't be classed as income to tax credits. ( only the interest above £300) . So tax credits did but say that to you.
Are you a Daily Mail journalist or just a bit bored?

MyLatestFuckUp Fri 12-Aug-16 11:01:43

No, I am not a daily mail journalist. And I am also due to receive my own money from the sale of the marital home and I contacted them about that and they explained that because it was my own money.

I am having a really shitty time. My family FUCKING HATE single mothers and they are not daily mail readers. I have been brought up listening to this stuff and I have now adopted the attitude of "yes, I am pond scum, arent I?" as a self protective mechanism. I stayed with a man who was having an affair for over 10 years because of the shame and the stigma. I don't live in the south of england where my "lifestyle" is acceptable. I am told I have no morals and I have to hear about "the poor children, coming from a broken home". My mother also thinks he was quite justified in having the affair because I am not very good at ironing.

I have numerous threads all over the site about my parents. I have name changed for privacy.

ChicagoDolls Fri 12-Aug-16 11:12:58

I just phoned them myself because I sell bits & bobs on eBay. What you've been told is utter rubbish confused
I got the letter from concentrix too, everyone does

AndNowItsSeven Fri 12-Aug-16 11:20:40

Op I apologise , I initially found it hard to believe you were lied to about two separate issues by tax credits.
I promise you though you can have chequers or money as gifts even very large amounts all that's income is interest on savings over £300. That's a lot of savings!
And you can sell on eBay.

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