By Alix Culbertson, political reporter
Up to 300,000 people with side hustles selling clothes on Vinted and eBay or making money from TikTok will no longer have to report their income to HMRC.
The threshold for having to file a self-assessment tax return for trading income will be lifted from £1,000 to £3,000 by the next election, set for 2029.
This will include people with side hustles selling vintage clothes on websites such as Vinted and eBay, selling handcrafted gifts on Etsy, dog walking, gardening, driving a taxi, delivering food, or creating online content.
However, they will still have to pay tax on anything earned over £1,000 – they just will not have to report their income until it gets to £3,000.
Tax minister James Murray said: “From trading old games to creating content on social media, we are changing the way HMRC works to make it easier for Brits to make the very most of their entrepreneurial spirit.”