HMRC

[mmeusz123]

What are people’s experiences with HMRC? EBay are asking me for my national insurance number to update my account. How does it all work. What do eBay do with that number?

Should I be worried.

[papso22]

Ebay adds your national insurance number to the sales data from 1st Jan 2024 that ebay will then send to HMRC,  who look at it and may contact you with questions about a potential tax liability.

If you are trading in guitars and guitar parts, then that is a business activity, chargeable to tax, and must be done on an ebay business account. 

If you don't provide the number ebay freeze your funds.

Some people report having had very bad experiences with HMRC.

[susapric-68]

If you are trading and have not been declaring it you still have time to register with the HMRC. Tax year end April and you have to put in your tax return after that. That way if you have been trading for years you can get last year in and that would normally be enough to get the HMRC off your back. The tax you pay is on your profits and in most cases you would not even owe them anything. I always put in a big order this month to make my outgoings higher and lower my profits.

If you have been playing the system (and your question suggests that) then you have a lot to worry about. HMRC can get your selling records going back years and fine you plus add interest to it. Once they smell blood they go rabid. Not trying to scare you just telling you the truth

[papso22]

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@mmeusz123 wrote:

What are people’s experiences with HMRC? EBay are asking me for my national insurance number to update my account. How does it all work. What do eBay do with that number?

Should I be worried.

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https://taxhelpforhustles.campaign.gov.uk/?&utm_source=hmrc_intranet&utm_medium=referral&utm_campaig...

Have a look at the above. 

[westmoreland_steam]

If you're doing things 'right' and informing HMRC of your selling activities, it shouldn't matter. If you don't inform them, then they have the right to look into your selling activities anyway, request data from eBay and that's where your NI number links your sales to your other earnings [i.e. a paid job]

latest direct.gov update on 'side hustles'

Boost for side-hustlers as 300,000 people to be taken out of tax returns, government announces - GOV...

If this is your only income, or you don't hit the taxable threshold, then there is really nothing to worry about - its always best to look on Personal tax account: sign in or set up - GOV.UK to ensure you know where you stand and declare things properly