Selling Online? Here’s What You Need to Know About Taxes in 2025
In recent years, there’s been a huge rise in people earning money through online platforms—whether it’s renting out a property on Airbnb, selling goods on eBay, delivering food via Deliveroo, or driving for Uber. But when it comes to tax, things haven’t always been crystal clear.
What’s the issue?
Most of the big online platforms are based overseas, often in the US, and until recently, they weren’t required to share users’ income details with HMRC. This made it easy for some sellers to underreport what they earned.
That all changed on 1 January 2024.
A new set of international rules—developed by the OECD and called the Model Reporting Rules for Digital Platforms—came into effect. These rules require platforms to report seller income to tax authorities across the globe, including HMRC.
Who’s affected?
If you earn money through a digital platform, you could be. This includes people providing:
Taxi or ride-hailing services
Food delivery
Freelance or gig work
Short-term rentals
The sale of new or second-hand goods
Vehicle or equipment hire
In short: landlords, couriers, freelancers, gig workers, side hustlers—this applies to you.
What exactly changed?
Platforms like eBay are now required to report how much you earn to HMRC. For example, if you made £20,343 on eBay, HMRC will know. These reports had to be submitted by January 2025.
What information do platforms have to share?
In addition to your income, they must also collect and report:
Your identity and contact details
Your tax residency
The location of rental properties (if applicable)
So if you live in the UK and rent out a holiday home in France via Airbnb, both HMRC and the French tax authorities will receive your information.
What should you do now?
If you earn through online platforms, make sure you’re reporting your income properly. Need help? Our accountants can ensure everything is reported correctly and explore tax reliefs that may reduce your bill. Get in touch—we’re here to help.
