Got an email from Vinted about HMRC? Here's what it means

Since 1 January 2024, sites like Vinted, Depop and eBay have had to report some sellers to HMRC. If Vinted asked you for your details or told you it's sharing your sales, this is why.

Who gets reported

A platform reports you for a calendar year if you made 30 or more sales, or took about £1,700 (2,000 euros) or more. Below both limits, it doesn't report you. The platform also has to send you a copy of what it reported. (GOV.UK: selling on a digital platform)

Being reported doesn't mean you owe tax

GOV.UK says so directly. You pay tax on online sales only if you're trading, or if you make a capital gain on something valuable.

• If you're selling your own things, like clothes you've worn or a loft clear-out, you're unlikely to owe tax.
• If you buy things to sell on at a profit, like charity shop finds or car boot bundles, that's probably trading, and the next section applies.

If you're trading: the £1,000 test

The trading allowance lets you earn up to £1,000 a tax year from trading without telling HMRC. The test is on your total sales before costs, not your profit. If you go over £1,000, register for Self Assessment. Then you either deduct £1,000, or deduct your real costs, whichever leaves you less profit. (GOV.UK: trading allowance)

Watch the dates

Vinted reports by calendar year (January to December). Your tax return covers the UK tax year, 6 April to 5 April. So the figure in Vinted's report won't match the figure for your return. You need your sales split by tax year.

Work it out

Vinted doesn't offer a sales download, so add up your sales for the tax year from your Balance page or Vinted's report. Then put the totals and your costs into the reseller tax check. It tells you which side of £1,000 you're on and which deduction leaves you less profit.