Platforms such as Airbnb and holiday let online booking services are to share data with HMRC, starting this month. 

HMRC says this data-sharing does not constitute any new form of taxation, nor does it require any change of practice by investment property owners, landlords or other hosts using platforms like Airbnb. 

Angela MacDonald, HMRC’s second permanent secretary and deputy chief executive officer, says: “We cannot be clearer – if you are not trading and just occasionally sell unwanted items online – there is no tax due.

“As has always been the case, some people who are trading through websites or selling services online may need to be paying tax and registering for Self Assessment.”

She says anyone who is unsure if their additional income could be taxable should search ‘online platform income’ on the Gov UK website to use HMRC’s free online tool or download the HMRC app and go to the ‘news’ section under the ‘communication’ tab for more information.

The new reporting requirements for digital platforms came into effect at the start of 2024. 

Those who sold at least 30 items or earned roughly £1,700, or provided a paid-for service, on a website or app in 2024 will be contacted by the digital platform in January to say their sales data and some personal information will be sent to HMRC due to new legal obligations.

HMRC says this may mean that some individual hosts may have to register for Self Assessment and pay tax.

The information shared will include the names, addresses and dates of birth of sellers, details of their earnings (as well as property details for lettings) and their bank account numbers. It will include online sales that were made in 2024.