If you or a member of your family are making a little on the side by selling goods online then beware, HMRC knows who you are!
Sellers on eBay, Etsy and Facebook Marketplace are among thousands who have received HMRC nudge letters with details about their potential tax liability.
It appears that HMRC has obtained detailed information on the sales activity of thousands of part time sellers and is contacting them direct and inviting them to respond within 30 days to come clean and then to summarise their tax position and make a voluntary disclosure of their undeclared income.
Anyone can sell goods up to the value of £1,000 a year without having to pay tax. Sales over that amount should be declared and taxed as income.
So, if you are making sales on a small scale but grossing more than £1000 per annum, make sure you tell HMRC before they come knocking at your door.