Forum

Stealth UK + Taxes
 

How are you paying taxes??? If the stealth account is a synthetic identity, but payouts go to my business bank account how can I pay taxes? Since eBay report transactions to HMRC these days. I am just very confused and its overwhelming.

If Your real business ltd declares £100k income and the source is "eBay sales" but eBay has no account registered to your real business ltd (or has banned it) HMRC asks: "Which eBay account generated this income?"

If you say "John Smith Trading," they ask: "Who is John Smith and why is he not declaring this income?"

If you say "My personal eBay account," they ask: "Why is this income not declared under your personal tax return?"

Either way, you've documented that you knowingly operated a business using false identities surely?

Someone please help clear this up for me, I am adamant about ebay stealth but i want to get back to selling at the same time.. in my mind its creating a forensic trail that proves you knew what you were doing is wrong, since all the money leads back to your real identity eventually, but the money came from a synthetic identity based account.

Just seems you cannot operate eBay stealth accounts legally while paying proper UK taxes, I couldn't be happier if someone proves me wrong

Re: Stealth UK + Taxes
 

it is only a question of whether your bookkeeping is correct , what ebay report to whom is meaningless if you do not have any significant problems with what you report yourself

Re: Stealth UK + Taxes
 

You file a tax return with your income and expenses, you pay the tax on your profit, at no point do you get asked your ebayid, HMRC, will happily take your money.

The eBay account 'holders' are not declaring the income because they're not making any income, its been paid to your bank account, and you declare it

As a analogy, a customer wants some double glazing, they see a advert, a salesman comes to their house and make the sale. He takes your cheque and gives the order and the cheque to the double glazing company who fulfils the order, cashes the cheque and declares the income on their next corporation tax return.

The salesman doesn't declare the sale as income, its not his personal income.

Obviously this is not legal or tax advice, you should consult a solicitor and accountant, who will no doubt tell you not to use eBay accounts in 'synthetic identities'.

Re: Stealth UK + Taxes
 

Good analogy. I need to stop consulting AI about stealth it’s leading me to believe it’s super illegal. I’ll go through with it

Re: Stealth UK + Taxes
 

accountants and lawyers will always be convincing you that a tax investigation is just around the corner and you are exactly the type of business they investigate often

so their advice is going to be incompatible with your ebay activities , they will essentially tell you to open one ebay account and run everything through one business bank account. as far as suspensions and all possible risks are concerned they don't know and they don't care , it is your problem