As Christmas approaches, HM Revenue & Customs (HMRC) is urging anyone who earns money from Christmas crafts, seasonal market stalls, or selling festive items to check whether they need to report their earnings for last year.
HMRC’s “Help for Hustles” campaign highlights the importance of understanding when extra income becomes taxable.
While selling personal belongings from a clear-out generally does not need to be reported, making or selling items for profit - such as handmade decorations, upcycled furniture or running a seasonal market stall - may be subject to tax.
What You Need to Know
Anyone who earned more than £1,000 from side hustles in the 2024-2025 tax year will need to:
- Register for Self Assessment as a sole trader.
- File a tax return.
- Pay any tax due by 31 January 2026.
The £1,000 threshold applies to all trading income combined. For example, someone earning £500 from craft sales and £600 from content creation would need to register, as their total income exceeds the threshold.
If you would like advice on whether you need to file a tax return, please give us a call. We would be happy to help you!