Do you pay tax on selling your own things?
For almost everyone, no. Selling your own used belongings, the clothes, the furniture, the bits in the loft, isn't taxed, no matter how much it adds up to. There's one narrow exception, for genuinely valuable single items, and it catches very few people. Here's the full picture.
Why clearing out isn't taxed
Selling possessions you originally bought to use isn't income, so there's no income tax on it. That's true however many things you sell and however much you make from the clear-out. HMRC says it plainly: you're fine "no matter how many items you sell."
This is different from trading, which is buying or making things to sell on for a profit. Trading is taxed as income once you go past the £1,000 trading allowance. Clearing out your own things is not trading, so the two should not be confused.
The one exception: Capital Gains Tax over £6,000
There's a separate tax, Capital Gains Tax, that can apply if you sell a single personal item, or a matching set, for more than £6,000. Below £6,000 per item, it's exempt. So a £200 sofa or a £900 bundle of clothes is nowhere near it. An antique or a piece of fine jewellery that sells for, say, £8,000 could be in scope.
What actually counts, and what's exempt anyway
Even above £6,000, a great deal is exempt. Many everyday belongings are treated as "wasting assets", things with a limited lifespan, and sit outside Capital Gains Tax entirely. Your car is the obvious one: cars are exempt whatever they sell for.
So the £6,000 rule really only bites on non-wasting valuables: antiques, art, fine jewellery, collectibles, designer pieces. And even then, everyone gets a tax-free allowance for capital gains each year, currently £3,000. So it's only the gain above that allowance, on an item that sold for more than £6,000, that could actually be taxed.
A matching set counts as one item
One thing worth knowing so nobody trips over it: if you sell a set, say a set of antique chairs, to the same buyer or to connected buyers, HMRC treats the set as a single item for the £6,000 test. You can't split it into separate sales to slip under the line.
So who actually pays?
Hardly anyone clearing out their home. You'd need a single valuable, non-everyday item selling for more than £6,000, with a gain above your £3,000 yearly allowance. For the overwhelming majority of people selling their own things online, there is simply nothing to pay and nothing to report.
Your own clear-out, or actually trading?
Soldly asks a few plain questions and tells you straight which side of the line you're on, and roughly what (if anything) you'd owe. Two minutes, no sign-up, nothing saved.
Check where I stand →Common questions
Do I pay tax on selling my own used belongings?
No. Selling your own used possessions isn't taxable income, no matter how many things you sell or how much you make. The only exception is Capital Gains Tax on a single item or matching set that sells for more than £6,000.
What is the £6,000 rule?
Capital Gains Tax can apply if you sell a single personal item, or a matching set, for more than £6,000. Below £6,000 per item it's exempt, and even above it many everyday items like cars are exempt anyway.
Do I pay Capital Gains Tax on selling my car?
No. Cars are treated as wasting assets and are exempt from Capital Gains Tax, whatever they sell for. The £6,000 rule applies to non-wasting valuables like antiques, art and fine jewellery.
Is there a limit on how much of my own stuff I can sell?
No. There's no limit on selling your own used belongings, because it isn't taxed. You'd only need to think about Capital Gains Tax if a single item or set sold for more than £6,000.