Vinted - have you informed HMRC about sales, or earnings. Im under the threshold but been told to report 🤷‍♀️

[CornishTeaTime]

Vinted has advised to report/complete a form Ive made £600 since starting with them over 65 sales.

I work part time and also do self employed work one day a week which Im registered for...do I need to declare vi ted earnings on my tax assessement in April 🤷‍♀️

Anyone done this?

I wouldn’t

You only need to declare if you're running a business on there. If you're selling your own old stuff it's fine.

Is it that you've been specifically contacted about it, or that you've seen the articles floating about online and it?

https://www.gov.uk/guidance/check-if-you-need-to-tell-hmrc-about-your-income-from-online-platforms

I haven't done it - although not been asked to by Vinted. I've made £1500ish since starting in 2022.
My understanding is I do not need to as its not taxable. I am selling personal items that are not making a profit from the price I paid for them. I make about £500 a year so below the £1000 tax free allowance for trading. And selling old clothes for a loss is not classed as trading.

You only get one £1,000 trading allowance so if this is reached by your other self employment and you're operating your Vinted as a business (eg, buying to resell) then yes you do need to declare.

If you're just clearing out your own wardrobe then no.

There is no tax due the proceeds from selling your personal possessions unless they are sold for over £6k per item
If you sell personal possessions for more than £6k capital gains tax is due on any profit that you make (with the exception of cars and your principal private residence).

That is my understanding of the situation, feel free to correct me anyone if I'm wrong!

The link I posted has a calculator tool on it. I would suggest if using it if you feel you're going to be coming close to the £1000 limit soon.

Not running it as business just wardrobe clear out stuff

UPDATE
See attached I think everyone who hits over 30 sales or £1k threshold gets this

I ran the calculator on the basis of the information you have described - i.e. you are selling your personl possessions, being clothes etc that you have worn and are clearing out of your wardrobe - and was told nothing to declare provided you didn't sell any one item for over £6,000.

This. You only need to tell HMRC if you are trading, not if you are just selling your own old belongings.

Also wondering this as I saw an article in the news about it.

https://www.gov.uk/guidance/selling-goods-or-services-on-a-digital-platform

The threshold for reporting according to this is 30 sales in a calender year or 2000 euros of income for platform reporting to HMRC.

So 65 sales would exceed the reporting threshold for number of sales significantly.

But this just relates to when Vinted (or whoever) will report your information to HMRC - it doesn't mean that OP has to do anything and it's fairly clear that there shouldn't be a tax implication in her case (from the bottom of the page you link):

"Selling online and paying tax
A platform reporting your details to HMRC does not automatically mean you owe tax.
To pay tax on the goods or services you sell online, you must either be:

• trading
• making a capital gain

You’re unlikely to pay tax if you sell personal items from your home, like contents of a loft or garage. If you buy or make goods to sell at a profit, you’re likely to be trading and will have to pay tax on your profits."

I never said that she did.

Simply quoted the reporting rules, which AFAICT, have not been quoted correctly on the thread up until this point.

What you've quoted are the reporting requirements for Vinted as a platform, not for an individual, and what information you must provide to that platform/what that platform sends to HMRC.

The OP asked if she had to pay tax.

UPDATE
Out of interest I just browsed my account and came across this - see photo.
This prompted me to post on hete for advice. No way have I sold 65 items in 12 months

Be interesting to see if anyone else has this on their account and didnt know....see if you have this as well if you have a Vinted account go to...

Profile
Legal Information
HMRC Reporting

This is from Vinted. It looks like as you've sold over 30 items you've triggered this. It looks like you just have to complete the report, not have to pay taxes on it

I hear that in Sweden its considered a taxable benefit and Vinted have a responsibility to report everyone who sells.. utter madness, adding to landfill in one swoop!

Don't fanny around with the £1,000 trading allowance. If you are serious about tax mitigation, you need to open a headquartered Irish company in Dublin, which leases the IP rights to a Luxembourg Societe Anonyme, both companies being members of a Dutch Co-Operative, established for this purpose, with dividends paid through a Maltese agent. The Maltese agent purchases UK GIlts or Treasury TIPS and washed out the profit as a capital gain. That way you have no obligations to report anything in the UK, but could suggest to HMRC an annual profit of £30 in the UK and only pay £5.70 in tax, despite turnover of £2.3 billion. The following year, write off the depreciated IP against this year's tax bill and get the £5.70 back. With interest.

Items are literally stuff from the back of my wardobe and a few kutchen cupboard items that were too good for charity shop!

It states even if you are not a business you still have to complete form

I’m guessing there’s no gain anyway as you’d be selling for a fraction of their original cost?

I suppose this depends on how you sell on Vinted.

If I buy a dress for DD for £20, she wears it a few times, and then I sell it for £3, I've made -£17. I doubt HMRC would be interested in that.

If you are buying and selling with the aim of making money, that's a different matter.

Just ignore it. You don’t need to fill ina tax return for that!