Selling on Vinted, eBay or Etsy: when does it become a business?

This guide is for people in the UK who sell on online marketplaces such as Vinted, eBay or Etsy. It explains what the platform reports to HM Revenue and Customs (HMRC), when selling counts as trading, and when you must register for Self Assessment.

Where these rules apply

Platform reporting, the trading allowance and Self Assessment registration are the same in England, Scotland, Wales and Northern Ireland. Two things differ by nation. Scottish taxpayers pay Scottish Income Tax rates on trading profit. The consumer guidance for traders used here covers Great Britain only, and Northern Ireland has its own Trading Standards Service. Notes for Scotland and Northern Ireland follow below.

The short answer

Selling your own used things is usually not taxable. Being reported by a platform does not mean you owe tax. Tax and registration follow if you are trading, which means buying or making things to sell at a profit. The tables below give the limits and their status.

What your platform tells HMRC

Digital platforms must collect details of their sellers and report some of them to HMRC. The table shows who is reported and who is not. Either limit for goods sales is enough to get you reported. Selling a service or renting something out has no lower limit.

For an individual, the platform reports your name, address, date of birth and tax identification number, together with your income from sales on that platform. HMRC guidance does not say that descriptions of the items you sold are reported, so do not assume HMRC sees what you sold.

The platform must give you a copy of what it reports. It must also tell you when it shares your information. HMRC says a report does not automatically mean you owe tax, and that there is no new tax for online selling.

Decide whether you are selling your own things or trading

You sell personal possessions when you sell things you bought or were given for your own use. You are probably trading when you buy goods to sell at a profit, or when you make goods to sell, including as a hobby.

The platform reporting limits and the trading allowance do not decide whether you are trading. The badges of trade do. Courts and HMRC weigh all the badges together, so no single answer settles it.

Ask yourself each badge about your own sales. Several pointing to a business means you are likely to be trading. If you are unsure, HMRC offers a free online checker (see the help section at the end of this guide).

Check the trading allowance and register for Self Assessment

If you are trading, add up your gross income from all your trading across every platform and any other side work. Use the amount before costs. The trading allowance applies to that total, not to each platform or each sale. Read Use the trading allowance to choose between the allowance and claiming your actual costs.

Some income cannot use the allowance. The table shows who is excluded.

If you traded in tax year 2025 to 2026 and have not told HMRC, the registration deadline has passed. Register as soon as you can. You must then file your return and pay by the January deadline in the table. A penalty for not telling HMRC is lower when you come forward before HMRC contacts you.

To register, follow Register as self-employed with HMRC. To file, follow File your Self Assessment tax return. If your sales grow, check VAT registration as well.

Meet your duties to buyers when you are a trader

If you are trading, consumer law treats you as a trader, whatever the platform calls you. Buyers who are consumers then have rights against you, including quality standards for goods and cancellation rights for distance sales. You stay responsible for meeting these rules even when the platform offers its own dispute tools.

The platform's sales limits do not decide whether you are a trader. For more on consumer rights, read E-commerce regulations for online selling and Consumer rights and returns.

Keep records of your sales

Keep records even when your trading income is within the allowance. Your platform report covers a calendar year, but you pay tax for a tax year. Total your own sales for the tax year and compare them with the platform figure. The platform copy does not replace your records or your own tax calculation. For more, read Keep business records as a sole trader.

Check which changes are law and which are announced

The Treasury has announced a higher Self Assessment reporting threshold for trading income. This is announced only: the rules have not been made yet, so the current allowance and registration rules above still apply. Making Tax Digital for Income Tax counts gross turnover, and its income limits are already set in law, so watch them if your sales grow. Read Prepare for Making Tax Digital for the steps.

Work through these steps

In January your platform sends its annual report. The Self Assessment return and payment for the previous tax year also fall due. The dates are in the tables above.

Who to ask

Ask HMRC about registration, the trading allowance or a platform report. Use the online checker first. If you need to speak to someone, use HMRC's Self Assessment general enquiries page, which lists the phone and online options.

For your duties as a trader in Great Britain, use the Trading Standards Institute's Business Companion guidance or contact your local council's Trading Standards service. In Northern Ireland, ask the Trading Standards Service in the Department for the Economy.