Horder selling everything do I tell hmrc?

[purpleheart12]

Hi,

My husband is a Horder and he has finally got help and we are having a massive clear out. He doesn't horde rubbish but books, DVDs, clothes, toys, etc in the thousands... Now obviously this is all stuff he's gathered over the years and so my thoughts are that as it's his stuff that he'll sell on for less than he bought it for do we report this to hmrc or not? Is there a limit to how much he can make from selling his own stuff? He has a love of books in particular so is likely to continue buying them on a monthly basis, read then sell on (best compromise) is this ok or not? I was always under the impression that of it's yours and you sell for less than bought for them you don't declare anything but I don't want to get this wrong! Thank you for your help.

I don’t think so, I’ve never classed stuff that I’ve brought, used and sold because it was no longer needed as income. I believe that if you buy it to sell to make a profit then it should be classed as income. Happy to be corrected though!

Personally I’d be pleased things were being decluttered and enjoy the bonus on something you both enjoy!

I think the limit is £1000 per tax year before you have to declare

It's your own stuff, so I don't think you have to declare. It's not a business...you're trying to declutter.

www.gov.uk/check-additional-income-tax

This is helpful. Apparently you don't have to unless you sell things for more than £6000

If he is selling at a loss he isn’t making any money, so there is no tax to pay.

If he isn’t trying to make a profit he also can’t be described as trading.

If he were making a profit e.g. by selling rare books, there would be tax implications, but that isn’t your situation.

Ok, thank you. We aren't sure if their are any that are worth any decent money but you never know as many are very old and in mint condition

There would be CGT to pay on an individual item if it was very expensive and over your CGT allowance for the year e.g, you have a rare piece of memorabilia worth £000s but I don’t think you would need to worry about the accumulative cost of all items together if nothing of worth

You only need to declare "gains".

FWIW you can order any book from your local library. I use this service primarily because I have no more room for owned books...

Also, losses can be offset against gains.

@SuperLoudPoppingAction

I think the limit is £1000 per tax year before you have to declare

No you dont

You can sell you won stuff

Technically capital gains tax would alloy but as you are selling for less and each have a CGT allowance you will be fine

I got almost £100,000 over 3 years clearing the house of a family hoarder.

Well done! Hoarding can ruin lives, it's brilliant you're doing so well 💐

Surely you wouldn't have to.

If I sold my car, for instance, I wouldn't tell HMRC!

@buddylicious

Surely you wouldn't have to.

If I sold my car, for instance, I wouldn't tell HMRC!

If you aren’t trading as a car dealer this is for 2 reasons:

1). You would probably sell at a loss
2). Capital Gains Tax isn’t charged on cars.

Is anyone really this honest !

NO!!! Sell what you want and don’t tell anyone :) it’s not illegal it’s your money you keep it xxx

No you definitely don't

I don’t understand why you would even think you need to tell them?

You bought something kept it for a while and sell it for a loss.

It's because I was told that if you sell things on a regular basis (monthly) it would be classed as trading and we have so much stuff and my husband continues to buy stuff l, use it and will then probably sell on that's why Im confused by the whole thing!