HMRC are advising online sellers that just have one month to register so that they can declare their online income. The e-Markets Disclosure Facility was announced by HMRC to ensure that online traders such as eBay sellers declare their earnings. Traders have until 14 June to register and must pay what they owe by 14 September.
Internet traders who have not disclosed their income to HMRC will have preferential terms; HMRC describe the scheme as a “fresh start” for people who haven’t declared their extra earnings previously.
Sellers can notify HMRC that they wish to take part by contacting HMRC by post, online or by phone.
If you are selling your own personal items then you should be all right but if you are buying goods to sell on then you should be registered as a business trader, and if you’ve earned enough, then you should be paying taxes. You can find out more on how to determine whether you would be considered a business seller here
Once the deadline passes, HMRC states that it will “clamp down” on sellers who have not declared their additional income.
Commenting in a press release, Marian Wilson, head of HMRC Campaigns, said:
“Our aim is to make it easy for online marketplace traders to contact us and make a full disclosure of income, thereby putting their tax affairs in order.”
”I urge online sellers who think they owe tax on their income to get in touch and get their tax affairs in order, simply and on the best possible terms.”
“The information and intelligence we gather is from a wide range of sources and it allows us to target those who should come forward as part of the e-Markets Disclosure Facility.”
”If you owe tax and don’t get in contact, do not assume that HMRC will not catch up with you.”