Sole Trader Status
Hi, I am selling on Amazon for 2 years and have now been told my account type needs to change to sole proprietor from my current statues individual.
Its asking for a UTR number but I am not a business and work full time paying tax through PAYE with my employer.
What is you advise to be able to continue trading on Amazon and continue working full time for my employer.
My Amazon top line sales are below VAT threshold.
8 replies
Seller_7VbclcPFFRTnc
Do you purely list your own second hand copies of books you’ve read ? And list them as used ?
Or do you buy books with the intention of selling them ?
If the latter, you are indeed a business and need to register as such
Amazon usually pick up the difference when sellers either list multiple copies of an item or, list a product as ‘new’
You’ll need to register as a sole trader as requested
Unless your employer has a clause in your contract that you cannot carry out any other type of work, there is no reason why you can’t do both
Seller_DROodOAYHftnc
Individual account is ONLY for selling off your own personal second-hand items, and you cannot list items as NEW.
Even though you have another ‘day’ job, if you are buying items with the purpose of selling on for profit, then you do need to register with HMRC as self-employed sole-trader, keep accounts and submit an annual tax return, and it is perfectly possible to combine the two - many people do it, there is no problem.
It is easy to register with HMRC online. Once you have received your UTR you will need to ask Amazon to open the option on your account to change the legal entity from Individual to sole-trader, and upload the letter with your UTR.
Seller_DROodOAYHftnc
I am amazed that it has taken them 2 years to realise that you have had the wrong type of account for selling new items !
