Selling clothes online and unsure about tax? Here's the plain-English version.
Last reviewed 2026-06-13
The 30-second version. If you're just clearing out your own wardrobe, you almost certainly owe no tax — no matter how many items you sell. Tax usually only comes into it if you're buying or making things to sell at a profit. And getting a message that a platform has shared your details with HMRC is not the same as owing tax.
If you've seen the headlines about "HMRC checking your Vinted sales," you're not alone — it's one of the most-searched resale questions in the UK right now. The good news is the rules are calmer than the headlines. Here's the plain-English version.
This is general information to help you understand the rules, not tax advice. For your own situation, check GOV.UK or speak to an accountant.
Selling your own old clothes: almost never taxed
Your clothes are what HMRC calls personal possessions — things you bought for your own use. When you sell them second-hand, you're usually selling them for less than you paid, so there's no profit and no Income Tax to worry about.
HMRC's own guidance puts it plainly: if you're selling personal possessions, you probably do not have to pay Income Tax on these — and in its worked example of someone clearing out their attic, it says "it's unlikely that you'll need to tell us about this income or pay any tax, no matter how many items you sell." (GOV.UK)
So a wardrobe clear-out — even a big one — is normally tax-free.
The one exception: the £6,000 rule
There's a single catch, and it rarely touches clothes. If you sell one item (or a matching set) for £6,000 or more, Capital Gains Tax can apply to the profit. That's aimed at things like jewellery, art and antiques — not your old jeans. Cars and items with a "limited lifespan" are exempt too. (GOV.UK: Capital Gains Tax on personal possessions)
If you happen to be selling a single designer piece for several thousand pounds, that's the moment to check the detail — otherwise this rule won't apply to you.
When selling does become taxable: trading
The picture changes if you're not clearing out, but trading — buying or making things specifically to sell at a profit, regularly. HMRC's example is someone who starts buying from car boot sales and charity shops to resell online "with the intention of selling them for more money than you paid… something you do regularly." That's trading. (GOV.UK)
If that's you, there's a generous buffer first: the £1,000 trading allowance.
The £1,000 trading allowance. You can earn up to £1,000 a year (across the tax year, 6 April to 5 April) from trading activities tax-free. Only if your total trading income goes over £1,000 do you need to tell HMRC. (GOV.UK)
One thing to watch: the £1,000 is a single allowance across all your side hustles combined — reselling, a bit of tutoring, content income, and so on all count toward the same £1,000.
"But a platform said it shared my data with HMRC" — what that means
Since January 2024, online marketplaces in the UK have to collect and report certain seller information to HMRC under new digital-platform rules (the UK's version of the OECD/EU "DAC7" rules). The first reports were due in January 2025, covering 2024 activity. (GOV.UK: Reporting rules for digital platforms)
A platform will typically let you know your details have been shared if, in a year, you:
- made 30 or more sales, or
- received around £1,700 (€2,000) or more.
Here's the part that matters: being reported is not the same as owing tax. The rules just give HMRC visibility. If you were only selling your own possessions, the reassurance above still applies — you can be "reported" and owe nothing. HMRC has been explicit that these rules introduced no new taxes for online sellers; they changed reporting, not what's taxable.
Why we can explain this clearly. Reluv is itself a UK marketplace covered by these digital-platform reporting rules — so we deal with them first-hand. That's also why we build your sales records to be clear and exportable: if you ever do need to check your figures for a tax year, the information is easy to find.
Quick check: declutterer or trader?
| If you're… | …it usually means |
|---|---|
| Selling your own clothes you no longer wear | No tax to pay; normally nothing to report |
| Selling one item/set for £6,000+ | Check Capital Gains Tax (rare for clothes) |
| Buying or making things to resell, regularly | Trading — £1,000 allowance, then tell HMRC |
| Reported by a platform (30+ sales / ~£1,700) | Reporting only — check why you were selling |
If you do need to tell HMRC
If your trading income is over £1,000 in a tax year, you'll usually report it through Self Assessment. You can check whether you need to, and register, on GOV.UK:
- Check if you need to tell HMRC about your income from online platforms — HMRC's own tool
- Check how to register for Self Assessment
Keep it simple: hang on to a record of what you sold and for how much, and note the tax year runs 6 April to 5 April (some platforms report by calendar year, so you may need to line the dates up).
How Reluv helps
Reluv keeps a clear record of your sales that you can download whenever you need it — so if you ever have to check your figures, you're not scrolling through months of messages. And because payment is held securely until delivery is confirmed, the money side is straightforward too: you can see exactly what you were paid, and when.
FAQ
Do I have to pay tax on selling my old clothes on Vinted, Depop or Reluv? Usually no. Selling your own personal possessions second-hand is normally tax-free, no matter how many items you sell — unless a single item sells for £6,000 or more.
Is it true HMRC is now checking resale sales? Platforms now report some seller data to HMRC (30+ sales or ~£1,700 a year). This is a reporting rule, not a new tax — being reported doesn't mean you owe anything.
What is the £1,000 trading allowance? If you buy or make things to sell at a profit, you can earn up to £1,000 a year from that tax-free. Over £1,000 total, you need to tell HMRC.
I got a message saying my info was shared with HMRC — am I in trouble? No. If you were only selling your own belongings, you can be reported and still owe no tax. Keep a record of what you sold and why, just in case.
When would I actually pay tax on reselling? Mainly if you're trading — regularly buying or making items to resell — and your total trading income for the tax year is over £1,000.
Last reviewed: 13 June 2026. Tax thresholds and rules can change — we review this guide regularly, but always check GOV.UK for the current position. General information, not tax advice.
Sources: Check if you need to tell HMRC about your income from online platforms (GOV.UK) · Capital Gains Tax on personal possessions (GOV.UK) · Tax-free allowances on property and trading income (GOV.UK) · Reporting rules for digital platforms (GOV.UK).