People have reported that they cannot make any more sales until they respond
People who frequently sell clothes on Vinted are set to receive a pop-up alert in their app on behalf of HMRC. It comes as part of a UK Government crackdown on people dodging their taxes.
TikTok user Chloe (@chloe_chandlerx) showed that because she has made 30 sales on the platform, it had triggered an alert telling her she needed to complete a “legal requirement”. The message appeared on the app home screen and claimed to require “one detail” from her due to UK law.
She said: “I had the dreaded message that people have been talking about because I have made over 30 sales, so I have to prove who I am and my earnings. This is not something to worry about, it’s just HMRC cracking down on Vinted, Depop, eBay [and other platforms] to sell secondhand.”
The tax office has previously announced that it would be clamping down on online platforms that people use to sell goods and services, and the way it reports information to HMRC The new reporting requirements for digital platforms came into effect at the start of 2024.
At the time, the UK Government had to combat misinformation from spreading that this was a ‘new tax’ being imposed on online sellers. A spokesperson said: “The new reporting requirements for digital platforms came into effect at the start of 2024. It is not a new tax. Whether you are selling last year’s festive jumper, clearing out a child’s outgrown baby clothes or quietly offloading an unwanted Christmas present or two – nothing has changed for online sellers.”
Chloe demonstrated the process involved for Vinted. She said: “Because I made over 30 sales, it asked for my [first] name, last name, date of birth and billing address.”
On the screen, Chloe had also entered her country of residency. The form then proceeded to the next page, which asked if the person had a National Insurance number and provided a space for them to enter it.
There was also an option to select ‘no’, but the steps for this were not shown in the video, as it continued to inform Chloe that she could continue earning cash through the app. She was shown a message confirming that the information had been submitted, which had an extra button linking people to more information about Vinted and HMRC tax rules.
Will Vinted contact me? Do I have to pay extra taxes?
Vinted says that it will automatically contact you if you meet at least one of the following criteria:
- Completed 30 sales or more within the calendar year
- Sold over €2000 (£1,700) within the calendar year
A spokesperson clarified: “Even if you meet one of these criteria and complete a seller report, it doesn’t mean you’re obliged to pay taxes, as selling your personal items is generally not taxed. In the UK, if the money you make on Vinted over a year is less than what you paid for the items, you pay no tax.
“The only time that an individual item might be taxable is when you sell it for more than £6,000 and there is a profit from the sale (i.e. it sells for a higher price than you paid for it).
“Generally, only business sellers trading for profit might need to pay tax on sales or provide any proof of their items’ value to HMRC. A tax-free allowance of £1,000 has been in place since 2017 for people who trade for profit. If you’re still concerned about how taxes might affect you, please consult with a tax advisor.”
