HMRC reporting of 2024

[Freakzilla]

Yeah, but now they are being given everyone's data. Lot different to them requesting it. If it's all automated it won't take much work to see everyone's turnover and VAT avoidance.

Originally Posted by JamesNorth101

HMRC have always had this power on eBay to request the bank details. Nothing new there.

[JamesNorth101]

Originally Posted by Freakzilla

Yeah, but now they are being given everyone's data. Lot different to them requesting it. If it's all automated it won't take much work to see everyone's turnover and VAT avoidance.

Only if they connect multiple accounts together which is easier said than done in reality.

eBay has for a very long time needed a VAT number on sales on a single account over the limit.

Issue will be if they start to link lots of accounts to one person and then add it all together for VAT but VAT runs on a per business basis so just need to register each separately and stay under the limits then its not an issue

[Freakzilla]

What about when stealth details are used? They will have no record the person exists. The National Insurance Number will be the unique identifier.
They won't be registered with HMRC and if they have used a high street bank they can easily find out who the accounts belong to.

Not saying any of this will happen, as we don't know, but it could.

Originally Posted by JamesNorth101

Only if they connect multiple accounts together which is easier said than done in reality.

eBay has for a very long time needed a VAT number on sales on a single account over the limit.

Issue will be if they start to link lots of accounts to one person and then add it all together for VAT but VAT runs on a per business basis so just need to register each separately and stay under the limits then its not an issue

[JamesNorth101]

Yep it could all happen but IMO just like for the last 15 odd years so long as you can show tax is paid HMRC are not that bothered.

People do trade under different names. That is OK - so long as the tax gets paid and you can show that then that will keep HMRC happy

This is my opinion and not legal advise lol but it is how I see it

[brucey]

The bank account is the key as that would link back to the same person.

Originally Posted by Freakzilla

What about when stealth details are used? They will have no record the person exists. The National Insurance Number will be the unique identifier.
They won't be registered with HMRC and if they have used a high street bank they can easily find out who the accounts belong to.

Not saying any of this will happen, as we don't know, but it could.

[brucey]

I have 8 stealths all different bank account numbers however further investigation would lead back to my registered address.

Time to cut and run for the hills

[james_112233]

The key here is to be registered with HMRC and paying your taxes.

They will be after those that aren't filing tax returns first and foremost.

As A.I keeps getting better and so does their softwares, they will start tallying up tax returns with the income online platforms are reporting. But that will require a real person to take a look to confirm everything. They will no doubt be hiring more tax agents for this specific job role if it appears the problem is significant enough to be worthwhile. If you're a big time tax dodger you will be having sleepless nights.

[brucey]

I would assume given they are only employing 24 extra people that they are relying on the AI to do all the work and fire out letters to scare people into paying up.
Which is fine, end of the day if you make it you should pay the tax on it.

I have had to phone HMRC a few times.. current wait times never short of 45 minutes.. you add this new platform tax accrual into the mix and you can triple that time at least.

[james_112233]

Originally Posted by brucey

I have 8 stealths all different bank account numbers however further investigation would lead back to my registered address.

Time to cut and run for the hills

Might be time to make all eight accounts into separate businesses ventures if not already ...

[rsot]

Originally Posted by brucey

I have 8 stealths all different bank account numbers however further investigation would lead back to my registered address.

Time to cut and run for the hills

morning chuckles

[Freakzilla]

Again you don't know that. Know of us know anything yet. It's pure guesswork.

It wouldn't even take a real person, could all be automated easily.

Again, we don't know what will happen

Originally Posted by james_112233

The key here is to be registered with HMRC and paying your taxes.

They will be after those that aren't filing tax returns first and foremost.

As A.I keeps getting better and so does their softwares, they will start tallying up tax returns with the income online platforms are reporting. But that will require a real person to take a look to confirm everything. They will no doubt be hiring more tax agents for this specific job role if it appears the problem is significant enough to be worthwhile. If you're a big time tax dodger you will be having sleepless nights.

[murdered_by_ebay]

Originally Posted by james_112233

The key here is to be registered with HMRC and paying your taxes.

They will be after those that aren't filing tax returns first and foremost.

As A.I keeps getting better and so does their softwares, they will start tallying up tax returns with the income online platforms are reporting. But that will require a real person to take a look to confirm everything. They will no doubt be hiring more tax agents for this specific job role if it appears the problem is significant enough to be worthwhile. If you're a big time tax dodger you will be having sleepless nights.

I am sure that VAT and large turnovers will be the main target , HMRC have had access to ebay and amazon details for years by the way

[JamesNorth101]

Originally Posted by murdered_by_ebay

I am sure that VAT and large turnovers will be the main target , HMRC have had access to ebay and amazon details for years by the way

No they haven't... bro the amount of misinformation you give put bud really isn't helpful

They can request the details from ebay. They don't have automatic access.

[james_112233]

Originally Posted by Freakzilla

Again you don't know that. Know of us know anything yet. It's pure guesswork.

It wouldn't even take a real person, could all be automated easily.

Again, we don't know what will happen

Ufcourse, it's all speculation because none of us know.

I personally think when it comes to prosecution just relying on software alone won't cut it. A real person needs to go over everything.

[james_112233]

Originally Posted by murdered_by_ebay

I am sure that VAT and large turnovers will be the main target , HMRC have had access to ebay and amazon details for years by the way

Yes, but only if someone employed by HMRC requested it with proper documentation.

Now it's the complete opposite, all online platforms will be drip feeding HMRC's Ai machine the data. When it flashes red an agent takes a look. All the automated bits will be the calculations / cross referencing / brown envelopes with pay up letters going out.

Best thing to do is if you're working full time or on benefits and aren't registered as self employed, to do that now. As soon as they see you got money coming in online but haven't declared the income it's an automatic red card.

[murdered_by_ebay]

Originally Posted by james_112233

Yes, but only if someone employed by HMRC requested it with proper documentation.

Now it's the complete opposite, all online platforms will be drip feeding HMRC's Ai machine the data. When it flashes red an agent takes a look. All the automated bits will be the calculations / cross referencing / brown envelopes with pay up letters going out.

Best thing to do is if you're working full time or on benefits and aren't registered as self employed, to do that now. As soon as they see you got money coming in online but haven't declared the income it's an automatic red card.

there is no point to send letters to tens if not hundreds of thousands of people , they just take the large ones and it will be more money than all the small ones combined , it is not enough to have the data as turnover itself does not allow to send a bill unless it is big enough

and yes HMRC have had access for a long time , it was not automated but there were no obstacles to get data of anyone selling on ebay

[brucey]

I disagree, their automated system doesn't need to work out exact costings owed as long as its above £1000 (or £1700) then a generic letter will be sent out to all advising to declare their tax owed through ebay sales.

Originally Posted by murdered_by_ebay

there is no point to send letters to tens if not hundreds of thousands of people , they just take the large ones and it will be more money than all the small ones combined , it is not enough to have the data as turnover itself does not allow to send a bill unless it is big enough

and yes HMRC have had access for a long time , it was not automated but there were no obstacles to get data of anyone selling on ebay

[yobar]

That is correct, in the end they are generic messages to all those who exceed the indicated amount.

[Ill Be Back]

I haven't been on this forum in a while. With the HMRC reporting. Has anything like this ever been proposed in the past only for it to either simmer down or not happen at all? Going into 2025 how many of you are changing your methods and how many are risking it? What will happen with any stores that have been untaxed for years? Will they chase everything from the beginning and if not what can we expect. Thanks

[brucey]

ebay will send HMRC the very bare minimum that they have too and probably on sound advice from their own legal teams

[Freakzilla]

It's legislation now.

Loads of info on what people think will happen on this forum. Nobody knows for sure.

Originally Posted by Ill Be Back

I haven't been on this forum in a while. With the HMRC reporting. Has anything like this ever been proposed in the past only for it to either simmer down or not happen at all? Going into 2025 how many of you are changing your methods and how many are risking it? What will happen with any stores that have been untaxed for years? Will they chase everything from the beginning and if not what can we expect. Thanks

[Ill Be Back]

Originally Posted by Freakzilla

It's legislation now.

Loads of info on what people think will happen on this forum. Nobody knows for sure.

What are you plans going forward? Are you risking it