If you are just selling some unwanted items that have been lying around in the attic, the answer is probably no.
In order to pay tax on the goods you sell, you either have to be trading or make a capital gain. If you are trading you will be self-employed.
Generally, you are trading if you:
If you are trading you may have to pay Income Tax, National Insurance Contributions and VAT, and HM Revenue & Customs (HMRC) will treat you as self-employed in that trade.
But you are not trading if you:
Even if you don't need to pay Income Tax you should still check if you need to pay other taxes or duties.
Essentially, 'trade' is a two-way relationship between a trader and a customer, where the trader provides goods or services to the customer for reward on a commercial basis.
To help decide whether a trade exists or not the courts have identified '9 indicators or badges'. It is not always easy to decide even using these 'badges', because a trade may exist even if only 1 or 2 of the indicators are present.
Follow the link below to read some helpful trading examples.
There's a wide range of help and support available from HMRC. Follow the links below for more guidance on:
If you need more help to know if you are trading, follow the link below to contact HMRC for help.