Etsy share prices continue to fall amid HMRC crackdown on side-hustles earning over £1,000 a year
Share prices of popular selling site Etsy have fallen since the UK Government’s announcement to crack down on those creating extra income from selling secondhand goods or handmade goods.
The HMRC has warned those who do not declare their extra income risk being vulnerable to fines, advising that any profit over £1,000 must be declared, as the government plans to crack down on side businesses.
This affects sellers on platforms like Etsy and eBay, and the decision has upset many, as it coincides with a time when many must sell second-hand goods to make ends meet.
A spokesperson from small business consulting organization Venture Smarter advised, “With the government cracking down on extra income, it can be off-putting for some to start a side hustle; however, it is important to remember that only income over £1,000 will be taxed.
“While it may be off-putting to start a side hustle during a government crackdown on tax, starting a side hustle can still be a way to bring in a substantial income, with some fans of Taylor Swift using the upcoming Era’s tour as a way to sell fan-made merchandise. “
A new study has found that Taylor Swift fans could make extra money online by selling handmade friendship bracelets for gig-goers to trade at the upcoming UK stint of The Eras Tour.
Taylor Swift’s influence has made friendship bracelets hugely popular again, as fans are seen trading them at her concerts and even looking to the singer’s own jewellery during shows to get clues for upcoming album releases, projects, and collaborations.
And the new analysis has found that fans making these friendship bracelets might want to sell them online to earn extra money, as homemade versions boast an average selling price of £12.50
The findings showed that the beads required to make these bracelets can be purchased in bulk from Etsy for an average of £10 but will be considerably cheaper from other online retailers like SHEIN and Temu, and can also be found on the high street for a bargain at shops like Poundland and Hobbycraft.
In fact, fans who do monetise their friendship bracelet-making skills could easily make up to £387 a month, simply by selling one bracelet a day.
Fans of Taylor Swift who are making money on Etsy don’t just sell friendship bracelets but other handmade merch too. These include handmade candles, which fans create to complement Taylor Swift’s albums for a fully immersive listening experience and are sold for an average of £16.50.
Although there’ll be less demand now than in December, fans can also make a small fortune selling personalised Taylor Swift Christmas ornaments, at an average price of £13 each.
Fans have also made their fan art into profit by selling it as stickers. Stickers sell for an average price of £4 and can be positioned as an affordable add-on for larger orders.
Other popular fan-made merchandise sold through Etsy, has been discovered to be album-themed necklaces and personalized ‘Taylors’ mugs – selling on average for £12.
The five most profitable Taylor Swift fanmade merch items on Etsy and average earnings
- Personalized candles – £16.50 per-product
- Christmas tree ornament – £13 per-product
- Friendship bracelet – £12.50 per-product
- Personalized mug – £12 per-product
- Stickers – £4 per-product
However, any fan must ensure that copyright laws are not violated, which can be challenging as distinguishing between things that copyrighted and those that aren’t is ambiguous.
Speaking on the findings, an expert from Venture Smarter advised: “With the Government cracking down on money made through online stores, it’s important to make sure you are keeping records of anything sold online, including business expenses – this receipts, invoices and records of shipping costs.
“To declare your tax online you will need to register with the HMRC through their website – once you are registered you will be issued a UTR this is a Unique taxpayer’s reference. This will allow you to file your self-assessment forms online, remember, if your annual turnover exceeds the VAT threshold, you will need to become VAT registered.
“To avoid incurring fines and penalties, it is crucial to stay aware of the deadlines and ensure that you complete your self-assessment accurately and pay any taxes on time. By following these steps, you can not only sell online with ease but also avoid the legal consequences set out by the government for tax avoiders.”
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The data was collated via Google Keyword Planner, which provides monthly and annual Google search volume for key phrases and terms across the US, and at a state level. 70 keywords were used to identify the most searched for products.
Data was also collected from online marketplace Etsy, analyzing listings to determine the average sale price of products.
|Average Price Per Listing
|Handmade glassware sets
|Handmade diamond painting
|Handmade diamond painting
|Personalized glassware sets
|Personalized diamond painting
|Handmade Christmas ornaments
|Personalized Christmas ornaments