Sometimes it can seem like the government want to tax everything possible. However, there are some occasions when selling a few items will not land you with a tax bill.
As we head towards the summer, boot sales will start springing up across the country. A handful of people at these events will be serious traders, there on a regular basis selling items they’ve bought to make a profit. But for many this will just be a convenient way of disposing of some unwanted items from around the house. If all you are doing is selling off a few small knick-knacks then those sales will generally not be considered taxable income. The more regular your attendance, the more likely it will be considered an actual trade
Even if you are considered to be trading, you still might not have to declare this as taxable income. Trades that earn below £1,000 do not have to be reported as they qualify for the trading allowance. If your earnings are only marginally above this figure, you would also have the option to simply deduct this £1,000 instead of keeping detailed expense records.
If you are planning to start a trade, then professional advice from the start will help ensure you keep your tax bills down. If you want to discuss your business plans then contact us on 01892 807001.