HMRC now knows what you earn on Vinted, eBay and Airbnb — here's what to do

For years, people treated the money they made on Vinted, eBay, Etsy, or Airbnb as "invisible" money. Unless you actively declared it on a tax return, HMRC generally had no idea it existed.

As of 2026, those days are permanently over. The UK has fully implemented the OECD's "Model Reporting Rules for Digital Platforms".

What do the new rules mean?

Put simply, the burden of reporting has shifted. HMRC no longer waits for you to tell them about your side income. Instead, they have legally forced the platforms to report your earnings directly to the tax office.

By January 31st every year, platforms like eBay, Vinted, Etsy, Airbnb, Deliveroo, and Fiverr must send a comprehensive spreadsheet to HMRC detailing:

• Your name, address, and date of birth
• Your National Insurance number or Tax ID
• Your bank account details
• The total amount of money you were paid over the year
• The total platform fees deducted

Who gets reported?

The platforms will report your data to HMRC if you cross a very low threshold. You will be reported if, in a calendar year, you:

• Make 30 or more sales (regardless of the value)
• OR make more than €2,000 (roughly £1,700) in revenue

The £1,000 Trading Allowance

If you cross those thresholds, your data is sent to HMRC. But what happens next?

HMRC's supercomputers will cross-reference your total platform earnings with your main PAYE tax record. The golden rule you need to remember is the Trading Allowance.

Everyone is legally allowed to earn up to £1,000 a year in gross revenue completely tax-free. If your total sales across all platforms are £1,000 or less, you owe no tax and you do not need to register for Self Assessment. HMRC will see your data, see it is under £1,000, and ignore you.

Selling old clothes vs "Trading"

If your gross revenue is over £1,000, you are entering the danger zone. However, there is a crucial distinction in UK tax law between "clearing out your attic" and "trading".

If you are simply selling your own old personal possessions (like a wardrobe clearout on Vinted, or getting rid of an old TV on eBay) for less than you originally paid for them, this is NOT considered trading. It is not taxable income, even if you make £3,000 from it. However, if HMRC flags your account because of high volume, you may need to prove these were personal sales.

If you buy items specifically to flip them for a profit, or you make crafts to sell on Etsy, you ARE trading. If your gross revenue is over £1,000, you must register for Self Assessment.

What to do next

If you are actively trading and earning over £1,000 a year in gross revenue, do not wait for a letter from HMRC. They have the power to issue severe penalties for "failure to notify". Calculate your taxable profit using our Side Hustle Calculator, register for Self Assessment online, and declare your earnings legally.