Paypal limits question

[starengine]

If I sell less than 200 items and stay below £1500 say... per year, is there any comeback in anyway at all?

Could one have 10 such accounts?
100?
1000?

(Before anyone else says... yes, I realise that running many many accounts is a logistical problem in itself... but lets assume that can be ignored for the moment.)

Just wondering.

[@NasterXchange]

Originally Posted by starengine

If I sell less than 200 items and stay below £1500 say... per year, is there any comeback in anyway at all?

Could one have 10 such accounts?
100?
1000?

(Before anyone else says... yes, I realise that running many many accounts is a logistical problem in itself... but lets assume that can be ignored for the moment.)

Just wondering.

1- What do you mean with "any comeback" please?

2- Which kind of "logistical problem" do you mean here?

[Play]

You can operate by staying below the EU threshold and spread sales over as many accounts as you would like. Heck, you can even make things efficient (see this thread I wrote https://www.aspkin.com/forums/multip...ficiently.html)

But it's not easy. Staying below the threshold means spreading sales very thin. i.e. selling £1,400 in a given month will probably cause PayPal to request info because they "project" your sales will go over the threshold by end of the year.

With work... its possible. Just a tad difficult though.

[Ebayorbust]

But it's not easy. Staying below the threshold means spreading sales very thin. i.e. selling £1,400 in a given month will probably cause PayPal to request info because they "project" your sales will go over the threshold by end of the year.

When did this start happening? I can't recall ever seeing a request for EU limit documents based on projected sales.

[starengine]

@MasterNaster
well... there's many issues. like needing to declare income and keeping records.
if one individual makes $10,000 - he has to report income. if 100 individuals each make $100 - do they have to report the income?

logistical problem: well, how would u be able to manage 100 accounts say for example? how would you log in and out and have 100 ip numbers? + all the other complexities?

@play - absolutely awesome guide.

if 100 individuals each make $100 - do they have to report the income?

Its still you making the money. You're responsible for paying your taxes.

Spend your time building a handful of really excellent accounts with some others as back up.

Unless you are running an extremely shady non legit 'business' then the idea of hundreds of accounts is absurd.

[JHerald]

Originally Posted by starengine

@MasterNaster
well... there's many issues. like needing to declare income and keeping records.
if one individual makes $10,000 - he has to report income. if 100 individuals each make $100 - do they have to report the income?

logistical problem: well, how would u be able to manage 100 accounts say for example? how would you log in and out and have 100 ip numbers? + all the other complexities?

@play - absolutely awesome guide.

Well when HMRC's Connect system identifies thousands of pounds going into your account undeclared then there might be a question or two perhaps.

They won't like it if they find out you earned this money from a shady backing (e.g no records in your name to account for the earnings etc.) but as long as you pay what you owe to them, if outside your personal allowance, then there won't be any penalty from their end.