HMRC reporting of 2024

[murdered_by_ebay]

all this was already discussed here , UK delayed the implementation by one year comparing to the EU so that the first reports would be for 2024 in january 2025

all sellers registered before 2024 get a grace period of one year so that they would not need to be reported before january 2026

[Mr_Blue_Sky]

Originally Posted by murdered_by_ebay

all this was already discussed here , UK delayed the implementation by one year comparing to the EU so that the first reports would be for 2024 in january 2025

all sellers registered before 2024 get a grace period of one year so that they would not need to be reported before january 2026

I've searched the forum and cannot find any mention of 2026 other than one unverified comment by you. Nobody else has mentioned 2026. Can you give me any external link or maybe a link to the HMRC confirmation Freakzilla mentioned?

Like I said, I hope I'm wrong but I've seen absolutely nothing to indicate ebays position is anything other than that which they've officially stated on the link I gave.

All it would take it for someone to provide a link, I'm clearly incapable of finding it for myself.....

[Freakzilla]

We have discussed this to death here. Every month or so someone new jumps in and wants everything repeated again. It's all on the forum and searchable on google. I, and others have spent hours looking for it and found it all, so it can't be that hard.

https://www.taylorwessing.com/en/ins...ital-platforms

This took 10 seconds to find, and I'd already posted it here, as well as the link to the HMRC one.

Originally Posted by Mr_Blue_Sky

I've searched the forum and cannot find any mention of 2026 other than one unverified comment by you. Nobody else has mentioned 2026. Can you give me any external link or maybe a link to the HMRC confirmation Freakzilla mentioned?

Like I said, I hope I'm wrong but I've seen absolutely nothing to indicate ebays position is anything other than that which they've officially stated on the link I gave.

All it would take it for someone to provide a link, I'm clearly incapable of finding it for myself.....

[Freakzilla]

And here is the link on the Gov website

https://www.gov.uk/guidance/reportin...ital-platforms

[Mr_Blue_Sky]

Thank you for the information, it's appreciated. I can assure you I did try and find some kind of verification for myself and the links you provided did not appear on my searches.

[Ill Be Back]

Originally Posted by james_112233

I think a lot of people are in that exact scenario and this new A.I implementation at HMRC is there to catch them out.

Your income from Stores B, C and D that you don't pay tax on will flag up immediately but I think it won't be dealt with until a case worker gets round to it first. But I agree they will go after those that aren't even registered as self employed / directors of a LTD first rather than penalise those that are.

Your income from stores B, C, D could fully well be you getting rid of items at your house ... but then again if the turnover is ridiculously high it will raise questions.

Thank you for your response. I assume that you are in a similar position. What are your plans with this. With my stores B, C and D they make around 2 to 3 hundred a week. So turnover is still quite high

[Freakzilla]

What has everyone done if anything regarding this? I don't want to go through all the things we've discussed here hundreds of time, but I'm not sure about a few things still:

1) We know sellers who were registered before this year have a one year grace period where marketplaces don't have to report our sales until 2026, but will sellers who were registered pre 2024 have their 2024 and 2025 sales reported in January 2026, or just sales figures for 2025?

2) What happens if you don't supply the marketplaces with NI number, or you was suspended during the year. I know the marketplaces can suspend, but will they supply partial date to HMRC? I know HMRC can fine each marketplace £100 for each sellers data that isn't supplied on time.

If you're running stealth and the data is supplied to HMRC bank account is the easiest way for them to find out who the account belongs to. Still loads we don't know, but would be interested in thoughts on my points above.

[james_112233]

Originally Posted by Freakzilla

What has everyone done if anything regarding this? I don't want to go through all the things we've discussed here hundreds of time, but I'm not sure about a few things still:

1) We know sellers who were registered before this year have a one year grace period where marketplaces don't have to report our sales until 2026, but will sellers who were registered pre 2024 have their 2024 and 2025 sales reported in January 2026, or just sales figures for 2025?

2) What happens if you don't supply the marketplaces with NI number, or you was suspended during the year. I know the marketplaces can suspend, but will they supply partial date to HMRC? I know HMRC can fine each marketplace £100 for each sellers data that isn't supplied on time.

If you're running stealth and the data is supplied to HMRC bank account is the easiest way for them to find out who the account belongs to. Still loads we don't know, but would be interested in thoughts on my points above.

Legacy account holder so haven't been asked yet.

I don't think anyone really has a clue until a year or two down the line.

I would like those who have already provided their N.I to chime in.

[degsey69]

I think that if you use a bank account that DWP pay into for pensions, benefits etc, you will be screwed as they will be monitoring these accounts from January for benefits fraud. If your stealth or personal account is paying into a bank account where DWP is making payments into, open a separate account in another bank and switch payments into there.

If you are not asked for your NI then that’s good but when they do after a while your account will be suspended if not supplied. If a stealth account put a false number in to see if they can check its validity.

I believe that small players will be avoided in the reporting and the bigger personal accounts will be pushed into a business account so a self employment declaration is needed with the IRS.

[murdered_by_ebay]

this here is not USA , everyone above the threshold will be reported , ebay will not be collecting business docs like amazon as this is not required by law

it does not matter whether account is business or personal , it is reported depending on the turnover

with benefits they have access to bank accounts and can see where people have accounts so that opening in a separate bank will not be that useful

[degsey69]

Originally Posted by agent006140

IRS?
Is that what UK called its tax agency?

We call them worse than that,it actually His Majesties Revenue and Customs

[gerald]

Originally Posted by degsey69

We call them worse than that,it actually His Majesties Revenue and Customs

It's actually 'His Majesty's Revenue and Customs'

[Freakzilla]

I just received an email from Etsy to say they will be sharing he sales data for this year in January 2025. They obviously aren't using the grace period for existing sellers.

[steve70000]

yes i just got a few e-mails...


The United Kingdom Model Rules for Reporting by Platform Operators with respect to Sellers in the Sharing and Gig Economy (“MRDP”) legally requires marketplaces like Etsy to collect, verify, and report sellers’ details and their quarterly sales transactions to UK tax authorities on an annual basis if you reach the reportable threshold.
Etsy must send your information to the relevant tax authorities if:

You complete 30 or more transactions in a calendar year
or
You make €2,000 (£1,700) or more on physical goods sales after taxes and fees in a calendar year
or
You had made any sales of made-to-order digital items in a calendar year

If your shop meets or exceeds the threshold in 2024, Etsy must share your taxpayer information and sales details for 2024 with the UK tax authorities in January 2025. You’ll receive a form in your Shop Manager with your sales information for 2024 at that time.
Please take a moment to review and either provide or update your information, including your name, address, tax ID etc, to ensure everything is correct. If your information is up to date, there’s nothing you need to do. Not providing current information or providing incorrect information may result in your shop being paused through Holiday Mode until updated.

[Freakzilla]

TikTok Shop have said they want NI number by May. Which is odd considering I'm a new seller to the marketplace this year and they should be reporting my sales by the end of next month.

[smhclfc]

There's so much uncertainty at this point and really until later this year, we just won't know. But let's face it, there will be hundreds of thousands of accounts (probably millions) across numerous marketplaces. A significant number of those accounts will not have tax details. How the HMRC go about this will be interesting. It will also be interesting how the various marketplaces go about supplying information to the HMRC for those accounts that haven't provided tax details. At some point, humans and not computers will have to try work their way through it and you can imagine the logistics of that.

[Freakzilla]

I asked HMRC anonymously if Marketplaces had to report sales data for legacy customers for 2024 and there response was "Whilst the marketplace may not report the sales, you are still required to report your income for the tax year in which it is received."

[james_112233]

Originally Posted by Freakzilla

I asked HMRC anonymously if Marketplaces had to report sales data for legacy customers for 2024 and there response was "Whilst the marketplace may not report the sales, you are still required to report your income for the tax year in which it is received."

As soon as you get asked for your tax ID you can assume they will report it

[Freakzilla]

Exactly, but will they report anyway without the info and take the £100 fine?! Will they report legacy sellers info for 2024?! HMRC don't even seem to know...

Originally Posted by james_112233

As soon as you get asked for your tax ID you can assume they will report it

[james_112233]

Originally Posted by Freakzilla

Exactly, but will they report anyway without the info and take the £100 fine?! Will they report legacy sellers info for 2024?! HMRC don't even seem to know...

If it's not a lot of extra work for them then they probably will report it. But I can't see HMRC penalising them as long as platforms are submitting something at the very least.

[murdered_by_ebay]

Originally Posted by Freakzilla

Exactly, but will they report anyway without the info and take the £100 fine?! Will they report legacy sellers info for 2024?! HMRC don't even seem to know...

it is much easier , they collect info and report all sellers where the info is complete , all other sellers are restricted from selling until they provide info

HMRC guidelines clearly state that marketplaces do not need to verify the data beyond industry standards

although on amazon anything is possible as they already demand more details than required by law , more than high street banks require

[Freakzilla]

Legislation states they will be find £100 for each incomplete sellers info.

Originally Posted by james_112233

If it's not a lot of extra work for them then they probably will report it. But I can't see HMRC penalising them as long as platforms are submitting something at the very least.