Martin Lewis, founder of MoneySavingExpert (MSE), has issued a warning to all Vinted account holders, urging them to make an urgent check to avoid the risk of losing thousands of pounds. As it turns out, the secondhand marketplace has been instructed to report the earnings made by its users to HMRC.
The new regulations notonly affect Vinted users but also individuals who earn through platforms like eBay, Etsy, and Airbnb, including those who rent out their homes. The purpose of these rules is to ensure that anyone making over £1,000 online declares their earnings for tax purposes.
In a tweet, Martin Lewis emphasized the importance of checking whether one’s earnings will be reported to HMRC. He said, “Sell on eBay, Etsy, or Vinted? Firms will now report some earnings to HMRC, so check if yours will be and if you need to pay tax.”
To provide more details, Martin shared an article on the MSE website, which explains that if you sell goods online or earn extra income through platforms like Deliveroo or Uber, the respective companies will soon be sharing your information with HMRC. However, these companies will only share data if you sell 30 or more items per year and earn more than £1,700 (€2,000).
Under the current tax rules, individuals can earn £1,000 a year alongside their regular employment without being liable for tax payments. However, if your earnings exceed this threshold, you are required to register as self-employed and pay taxes accordingly.
Martin Lewis also advised households with an income below £40,000 to conduct an urgent check. Moreover, he revealed a method through which thousands of households could potentially turn £800 into £5,000. Additionally, he shared valuable tips on how shoppers can earn £15 per month for free.
In conclusion, if you currently have a Vinted account or earn through similar online platforms, it is crucial to perform a thorough check to ensure compliance with tax regulations. Martin Lewis has always been a trusted source of financial advice, and it is essential to heed his warnings to avoid any potential losses.
To read the full article, visit F5mag.com.