If you sell goods or services online, you may have received a Seller Information Statement from platforms like eBay, Etsy, Vinted, or Deliveroo.
This statement is part of new international tax reporting rules that require online platforms to share seller earnings with HMRC.
Since January 2024, online platforms operating in the UK must collect, verify, and report seller earnings to HMRC if they meet the following thresholds:
- Earning at least €2,000 (about £1,700) in a calendar year
- Completing 30 or more transactions on the platform
The first reports, covering the 2024 calendar year, were sent in January 2025.
Receiving a seller information statement does not automatically mean you owe tax. It’s simply a record of your earnings from the platform, helping you determine whether you need to file a tax return.
How to understand your seller information statement:
Your statement will likely contain your personal information such as your name, address, NI number or UTR number.
The statement will also include a transaction summary; your total earnings, number of transactions and fees deducted by the platform.
Understanding if you’ll need to pay tax:
Your tax responsibility depends on the nature of your sales:
- Personal Sales (Non-Taxable) – Selling second-hand personal items (e.g., clothes, furniture, electronics) is not taxable unless you are selling for profit.
- Small-Scale or Casual Selling – If your total trading or miscellaneous income is below £1,000 in a tax year, you’re likely to be covered by the trading allowance and don’t need to report it.
- Regular or Business Sales (Taxable) – If your sales are frequent or aimed at making a profit, HMRC may classify it as trading income. If your total trading income exceeds £1,000, you must register for Self-Assessment and report it on a tax return.
What to do if you receive a statement:
If you receive a seller information statement from an online selling platform, the first thing you should do is check your earnings against your records to ensure accuracy.
You can then determine if you need to file a tax return based on the £1,000 trading allowance. Seek tax advice if you’re unsure about your obligations; the team here at Ormerod Rutter will be able to talk you through the statement and advise you accordingly.
It is recommended that you continue to keep records of your sales and expenses for tax purposes.
The new reporting rules do not introduce new taxes, but they increase transparency between online sellers and HMRC. Understanding your seller statement and tax obligations will help ensure compliance while making the most of available allowances.
Still unsure? Contact us today on 01905 777600 or email hello@ormerodrutter.co.uk to speak to a member of the team.
More information can be found on the gov.uk website.
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