What expenses can I claim as a reseller?

If you are trading and over the £1,000 allowance, every allowable cost you claim lowers your taxable profit, so it pays to know what counts. Here are the expenses UK resellers can usually deduct, in plain English.

General information, not tax advice. Check with HMRC or a qualified accountant before you act on it.

The choice: real costs or the flat £1,000

When you are over the trading allowance, you can deduct either your actual costs or the flat £1,000 allowance, whichever is bigger. If your real costs are more than £1,000, claim them. If they are less, just take the flat £1,000 and do not bother itemising. You cannot use both.

The cost of your stock

The single biggest cost for most resellers is what you paid for the items you sold, often called cost of goods sold. Keep receipts or notes of what you paid at car boots, wholesalers, charity shops or online. You claim the cost of the stock you actually sold in the year.

Selling and platform fees

The fees the platform takes are an allowable cost. On eBay that includes final value fees and any per-order or regulatory fees. On Vinted there are no seller fees to claim, since the buyer pays those. Any payment-processing fees you are charged also count.

Postage and packaging

Postage you pay to send items to buyers is deductible, as is the cost of packaging: boxes, mailing bags, tape, labels and bubble wrap. These small costs add up over a year, so it is worth tracking them.

Other costs that can count

Depending on how you sell, other costs may be allowable if they are genuinely for your reselling, for example:

• Mileage or travel to source stock or post parcels.
• A reasonable share of your phone and internet if you use them for selling.
• Listing tools, subscriptions or software you use for the business.
• Storage costs if you rent space specifically for stock.

Keep it honest and only claim the business portion. If you use something for both personal and reselling, claim a fair share, not the whole thing.

What you cannot claim

You cannot claim the cost of your own belongings that you sell, because selling those is not trading in the first place. You also cannot claim things that are really personal spending. If in doubt, ask whether the cost was genuinely needed to make your sales.

Keep simple records

You do not need accounting software. A spreadsheet with your sales and each type of cost is plenty. Good records mean you claim everything you are allowed and pay no more tax than you need to. FlipTally pulls your fees and postage from your eBay and Vinted data and lets you add your stock costs, so your profit is worked out for you. This is general information, not advice, so check anything important with HMRC or an accountant.

Frequently asked questions

This guide is general information, not tax advice, and reflects the UK rules for the current tax year. Always check with a qualified accountant before you file. FlipTally is independent and not affiliated with, endorsed by or connected to eBay, Vinted, Depop or HMRC. Last updated 2026-08-03.