News

E-traders are those who buy and sell online with the intention of making a profit.

 

Online marketplace traders need to contact HMRC about any unpaid tax by 14 June or face harsher penalties. The amounts to be paid should then be disclosed by 14 September.

 

Anyone coming forward would either avoid a fine or be ordered to pay a penalty of no more than 10% of the tax due.

 

Traders subsequently found to have dodged paying tax will face fines of up to 100% of the tax owed, or face a criminal investigation.

 

Those who only sell a few items and who are not traders are unlikely to be liable to pay tax on what they sell and will not be targeted by this campaign.

 

The clampdown follows other campaigns targeting doctors, plumbers, dentists and tutors. Next in line are the home maintenance sector and direct sellers.

 

A taxation trade body has said that the UK tax authority should have a general campaign on unpaid tax, rather than hitting individual sectors.

 

Concerned that you may have underpaid tax? Contact Foremans LLP on 01244 625 500.