Adsense, ebay tax and vat

May 29, 2006 1 Replies

Given that the VAT man is now sneaking up on people avoiding VAT on ebay (story 1) will the tax/vat man also be sneaking up on adsense users too (story 2)?


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According to thisismoney.co.uk, the "robot" in question is an advanced search engine which pinpoints said rogue traders. HM Revenue & Customs (HMRC) estimates it will net £1m a year in extra VAT and "force an extra 20 businesses to register for the tax". £250,000 "web robot"


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Amateur photographer Paul Mutton set up a site that offers downloadable, printable blueprints for paper lens hoods for a variety of digital and SLR cameras. Lens hoods might seem a bit esoteric but interest in the site has grown virally said Mr Mutton after he told some friends about it on net chat channels. "Before I knew it, word had spread worldwide across hundreds of internet photography forums and aggregation sites like del.icio.us and metafilter," he said.



Although unwilling to say how much he is making from the site, he said that in the first two months of its operation he had made enough money to pay for the spare time he spent putting it together and to cover his bandwidth costs.


doesn't sound that cost effective

so he's probably not making very much, not enough to go over the 50K VAT threshold in any event. He should still declare his earnings, less expenses, on his self-assessment form though.

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