Advice for selling items on eBay on top of 9-5 employment

11
Found 2nd Jun
I'm looking for advice around selling items on eBay as a side income while in 9-5 employment. I started this during this current tax year and have only been doing it for a few weeks however the returns seem to be worth the effort as all of the profit from this is being added into savings. Can anyone please provide any advice on the tax information or any other info I need to provide? I'm assuming I need to complete a self assessment form. Is there any other additional information required and any deadlines around this? Additionally, does any of this change if I decide to set up an eBay store and PayPal business account? Thanks for your help!
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I think if it's under £11,000 a year, it's fine but I could be wrong. Not sure if thats the case factored in with you working full time elsewhere. Out of interest, what are you selling? Obviously you don't have to answer if you don't wish to
Ioa38 m ago

I think if it's under £11,000 a year, it's fine but I could be wrong. Not …I think if it's under £11,000 a year, it's fine but I could be wrong. Not sure if thats the case factored in with you working full time elsewhere. Out of interest, what are you selling? Obviously you don't have to answer if you don't wish to


You're wrong. (probably)

£11K is the CGT allowance. OP is (from what s/he says) being a trader.

OP you are supposed to register with hmrc as soon as you start up in business. You will be a sole trader I guess.
What sort of numbers are you talking?

You should keep good records of all your trading and your expenses. I'd run a separate bank account/paypal account.
What sort of stuff do you sell - do you need liability insurance?
Ioa51 m ago

I think if it's under £11,000 a year, it's fine but I could be wrong. Not …I think if it's under £11,000 a year, it's fine but I could be wrong. Not sure if thats the case factored in with you working full time elsewhere. Out of interest, what are you selling? Obviously you don't have to answer if you don't wish to


It was my understanding you get 3 months to register?
I'm aiming for somewhere in the region of 2-2.5k.
I don't need liability insurance.
Edited by: "jdrob123" 2nd Jun
Advice related to the bank account linked to a PayPal business account: keep the absolute minimum amount of money in it; same for the PP account. During signup you agree to PP being able to both freeze your PP account funds and dipping into the linked bank account for any reason that PP deems fit. May be wise to consider two business bank accounts: one linked to PP and effectively a transient account, and the other as more permanent storage for payments received via the linked transient account, although if your record keeping is good you could use your personal bank account as the storage account.
AndyRoyd6 m ago

Advice related to the bank account linked to a PayPal business account: …Advice related to the bank account linked to a PayPal business account: keep the absolute minimum amount of money in it; same for the PP account. During signup you agree to PP being able to both freeze your PP account funds and dipping into the linked bank account for any reason that PP deems fit. May be wise to consider two business bank accounts: one linked to PP and effectively a transient account, and the other as more permanent storage for payments received via the linked transient account, although if your record keeping is good you could use your personal bank account as the storage account.


I'm currently tracking everything through Excel.

PayPal before this was set up with a separate Bank account with very little in it. Thanks for your advice!
Ioa4 h, 6 m ago

I think if it's under £11,000 a year, it's fine but I could be wrong. Not …I think if it's under £11,000 a year, it's fine but I could be wrong. Not sure if thats the case factored in with you working full time elsewhere. Out of interest, what are you selling? Obviously you don't have to answer if you don't wish to


Yeah as said above. You need to register with HMRC, within three month as you mention but I have never seen a fine for late registration as long as your tax return. Is in in time.

Go to the gov.uk, register for self employed, then set up a government gateway account. Your tax return period will run to 5/4 and your return must be lodged by 31/1.

It doesn't matter if your income from self employment, or wages or both combined is less than 11k, you still need to register.

If your business turns out to be pretty insignificant, you can likely utilise traders allowance gov.uk/gui…ome


You'll pay tax at c.20% on any combined trading profits which exceed your personal allowance, so assuming you work full time and are not a higher rate you'll pay 20% on your net profit.
Edited by: "ibblackberry1" 2nd Jun
ibblackberry12 m ago

Yeah as said above. You need to register with HMRC, within three month as …Yeah as said above. You need to register with HMRC, within three month as you mention but I have never seen a fine for late registration as long as your tax return. Is in in time.Go to the gov.uk, register for self employed, then set up a government gateway account. Your tax return period will run to 5/4 and your return must be lodged by 31/1. It doesn't matter if your income from self employment, or wages or both combined is less than 11k.If your business turns out to be pretty insignificant, you can likely utilise traders allowance https://www.gov.uk/guidance/tax-free-allowances-on-property-and-trading-income#tradeYou'll pay tax at c.20% on any combined trading profits which exceed your personal allowance, so assuming you work full time and are not a higher rate you'll pay 20% on your net profit.


Thanks for your advice.

As a sole trader, do you think it is worth registering for a business PayPal and eBay account?
Can I register for one as a sole trader?
jdrob1232 m ago

Thanks for your advice.As a sole trader, do you think it is worth …Thanks for your advice.As a sole trader, do you think it is worth registering for a business PayPal and eBay account?Can I register for one as a sole trader?


I have no experience of those accounts I'm afraid. It is sensible to have a separate business account, just so business transactions are transparent and easily identifiable from personal costs.

That said your turnover is fairly small so as long as your books are well kept then HMRC wouldn't mind too much in the event of an unlikely review.
What kind of things do you sell?
shyki123453 h, 48 m ago

What kind of things do you sell?


You only want to know because he said "the returns seem to be worth the effort".

Obvious is obvious.
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