For the UK, 6th April is the beginning of the tax year. Starting last year, Inland Revenue allowed people to continue selling on platforms like E-Bay and Etsy freely, but anything that accrued sales over £1000 would be subject to tax and the seller would be sent self assessment forms from the tax people.
The various platforms are now obliged to submit client sales figures to the Inland Revenue and that of course that will include PayPal receipts. I can’t actually work out how much of selling your old things like clothes or say a loft clearance can avoid the tax, however someone like me, who only sells wargame related things can easily look like a trader and my understanding is that the ceiling will kick in straight away.
The past few weeks have been a bit costly with various pre-orders and purchases, so it is nice to have reached a new tax year, with my allowance zeroed and seeing something going out of the collection to bring some funds in (above parcel).
The collection is a bit of a living thing with regular tweaks and nudges to keep it current with whatever fad I am going through, but playability, streamlining and an eye to storage are generally constant themes and now, increasingly, persistent back and leg pain problems are also taking their part in tailoring what sits on the shelves.
Two mapper type board games become an easy target, as not only do they generally require a lot of bending and stretching across, but by their nature (bigger), they take longer to play, adding to the amount of time spent bending and stretching etc.
I generally sit at the dining table to play 1 mapper and smaller boardgames, while figures and larger boardgames are take to a higher table that is 40” off the floor, at which I stand and it is the prolonged standing that exacerbates my back and leg pain. So bringing more games back to the dining table makes sense and the games at the other table need to be shorter games for less standing.
I was recently having correspondence with another gamer regarding this sort of thing (Hi S) and he felt that the smaller affairs such as Neil Thomas sized games are looking increasingly attractive compared to trying to re-create full battle games. I entirely concur. I have plenty of boardgames that can cover the ‘big battle’ and so I am happy for my figures to be doing something different and I seem to favour the divisional sized game and lower for them.
Why mention this? Well for a while, I have been dithering about getting a smaller scale army for smaller games to take to the dining table (for a 4’ x 2’ mat). I like the idea of the Epic figures, where you get lots of ‘heads’ in the unit, but I don’t like their formulaic method of ranking up in shoulder to shoulder strips, where it looks like each figure is welded to their neighbour …. So I have ordered some Pendraken 10mm, just enough to do an infantry unit, a cavalry unit and a gun battery, so that I can look at the practicality and result of basing the figures up tight, but lose that ‘welded’ look.
I want to get off the treadmill of painting, so buying into yet another project has me wary, but I plan to base them, then spray black primer, a quick light dry brush around the outer facings and exposed areas, then just dabbing on colours where the brush can quickly reach, which will mostly be on the front of the unit and rear of the unit, everything else stays black.
It will be a bit rough and ready and I know, initially at least, I will not be happy with that, but it might be time to get over it and it is radical enough (for me) to make a break on how I do stuff. The figures have been dispatched, but already, as I paint a nice group of 28mm Austrian Jägers, I am cooling on the idea - we shall see. Also I really don’t want to get the smaller lads and end up with project creep with more units and bigger games, that would totally defeat the purpose.
As for the boardgames, I thought that I had pretty much nailed that, but they too have an appointment with Mr. Change!
Anyway the point is that my collection is frequently in a state of flux and that as things leave the collection, posts here will reflect that. My other site (Commanders) regularly gets a little weeding, that totally strips out the stuff that has gone, so that the content stays relevant to what is actually going on and so keeps me true.
The size of both figure and boardgame collections are kept quite tight and concise, so things generally have to earn their place to stay and by that I mean have a reasonable prospect of getting to the table. A few things might get kept just for the pleasure of owning them, but with storage at a premium, not many things will find ‘favours’ granted to them :-)
Anyway, a word to the wise, if you are planning to clear out the collection, in the UK, it might be better to space this over a couple of years rather than doing it in one go, if the tax implication bothers you.

The 10mm project for the table sounds interesting. It definitely would fit your Pocket Armies idea.
ReplyDeleteHi Peter, yes it would and it might allow me to collect some periods that otherwise I might not get to.
DeleteJust been asked for my details by eBay as I had made a 100 sales in the reporting period.. like many my age in the hobby I've been starting to clear the loft so the "survivors" don't have to.. :o))
ReplyDeleteHi Steve, that is interesting, it looks like your threshold was based on the number of sakes rather than specifically the value. I had read somewhere that the transaction number was 30, so who knows!
DeleteAnyway, your ‘survivors’ salute you for taking the tax hit instead of them :-)
I marvel at the churn and turn-over of your collections both figure and boardgame. Having a leaderboard to show what is currently "In" and "Out" might be a useful gauge of your current interests.
ReplyDeleteThe US Internal Revenue Service implemented a similar reporting scheme several years ago in lowering the receipts reporting threshold from $20,000 (and 200+ sales) down to $2,500 and then finally down to $600. With enough pushback, the latter two thresholds were never implemented. For now, that is! With the amount of stuff you regularly sell, I expect you would be considered a professional trader and not someone simply selling off surplus items to raise a little extra cash.
Hi Jon, a leaderboard made me smile and is a great idea.
DeleteBack in the day when I got into the hobby, money was tight (for us all) and so selling something to buy the next thing was a natural thing to do, the downside to that is that I don’t have any legacy stuff and there are some things, that I wish I still had.
I think that mostly became habit forming, so that even today, I keep a trim ship on the hobby front. Of course the idiot part of me means that it is not unusual to be buying back into something that I sold just a couple of years ago!
I think our government / tax people are tightening up on what they see as tax avoidance as internet selling becomes a bigger part of the economy. I see myself as a recycler rather than a seller, but I doubt the tax people would be sympathetic to that view :-)
I doubt your tax people would be sympathetic to your view, for sure.
DeleteTwo words that are strange bed fellows …. Tax and Sympathy :-)
DeleteI contemplated going 15mm for my next project (space issues) but I just knew I would not enjoy painting them so instantly shelved the idea.
ReplyDeleteHi Phil, there is also a related cost of buying into terrain for a different scale.
DeleteI applaud you at being able to reduce and move on. That is something I find extremely challenging to do. I hope the smaller scale works out for you.
ReplyDeleteHi - my moving on is sometimes ‘going around in circles’ :-) but overall, yes, I am comfortable with clear outs. A couple of years ago, after many years of trying to slim down the rule book collection, I just gathered the lot up and took them to the recycle centre (tip / refuse / dumpster) and as a single one off decisive event, it was hugely cathartic and helpful - I have not missed any of those sets, but am glad of the liberated space.
ReplyDeleteAn unintended consequence of this is that Bring and Buys at shows may be become more popular. Of course, you could gift it to your wife/partner who may also have an allowance.
ReplyDeleteHi, I have seen one bring and buy that is becoming a main part of the show and there might be an argument for smaller shows that are failing moving to a mostly bring and buy day if the current trader based model cannot succeed.
ReplyDeleteYes, my son said that Mrs. Wargamer should open a PayPal account and e-bay account and use her £1000 allowance to assist with moving things on. She would hopefully see the NEED for more wargamery things to then be bought! :-)
I have to admire your discipline. I have reduced my library dramatically. Now I'm looking at my figures and finding it a little tougher to make the final push to clear that space of stuff. Like you I weary somewhat of painting and so buy a lot more second hand figures which only need a little TLC. Good luck on the tax side of things.
ReplyDeleteHi Richard - yes gaming first, painting second ….. or even lower :-) for that reason, last year I settled on just two established periods that only need units adding on a sort of tick-over basis i.e. paint when I fancy it and for that reason, I am a bit loathe to delve into something new, so I shall wait until the figures turn up and see if the enthusiasm can be cranked up enough to overcome the doubts.
ReplyDeleteI asked someone today about the tax and they said the personal allowance is £1000 or 30 transactions, whichever occurs first. I’m pretty sure that last year I exceeded that cash figure, so I suspect a lovely invitation from the tax people awaits! :-(
For the tax part don't you get to deduct the cost from the proceeds of the sale? In which case, you may often make a loss and then Inland Revenue may give you a tax refund....helping to support the hobby 😂
ReplyDeleteOr you may get to the stage in March of one year where you have sold $2000 but only purchased $1000, and have to explain to Mrs. Norm that you urgently need to purchase a $1000 of wargames 🤣
Good luck with the new project. You are a much better painter than I am Norm so I hesitate to suggest anything, but when I started painting Pendraken 10mm I would spray primer in the unit's base colour, e.g. red for Brits, and then just add faces, guns, shoes & webbing, and packs... so usually only 4-5 colours and reasonably quick.
Hi Ben, the tax arrangement unfortunately is on sales value and not profit margin. I think once Mrs. Norm got into the swing of it, she would switch from selling wargames to selling shoes :-) It might also expose my lie that nothing in wargaming costs more than £5 :-)
ReplyDeleteI have never used a colour primer. I find it so hard to change painting habits, but that is an idea that I should at least try ….. I should pick the same colour as the car, so it at least serves two purposes!
I am expecting my figures by Tue / Wed.
I shall watch your new 10mm project with interest. I'm also not very keen on the look of the 'welded' Epic figures.
ReplyDeleteMy wife sells a lot of old clothes (and buys new ones) so blew the eBay selling limit for tax reporting. Supposedly selling second hand things is exempt, but as it is based on turnover not net revenue venue, I'm going to be fascinated to see how this is adjudicated.
Indeed Martin, watch this space as they say, a few of us will be getting some surprises.
DeleteJust had a postal notice, the figures arrive tomorrow.
Norm, I'm (Gulp ..hangs head in shame) ex HM Revenue and Customs. The rules on online selling are something which came in after I moved over to the consultancy side of tax but should have sufficient leeway to reduce your liability on sales. Firstly selling personal goods should be excluded from tax charge. The underlying rule being that income tax should only be charged where the intention is to make a profit rather than reduce the size of your personal collection. Secondly if HMRC do consider that you are a 'trader' you are entitled to make deductions in the level of 'profit' by deducting the cost of purchases used in making the profit on the goods sold. So the costs of the figures, bases, glues, paints (or pro painting costs), packaging and postage should all be taken into account. I'd be really surprised if disposal of a personal collection would generate sufficient profit to get HMRC excited. Of course the key to all of this is to have some evidence for the costs incurred and for figures owned for many years that can be hard. Taking current costs and reducing them in line with an official measure of price inflation like the Retail Price Index should be accepted though.
ReplyDeleteThank you very much for posting that, very helpful and leaves me much more hopeful.
ReplyDeleteI just did my first UTR Self Assessment. Unfortunately you will have to declare things like interest on untaxed savings (not ISA’s), state pension, private untaxed pension/s, etc, etc…
ReplyDeleteI am not an accountant and I found it difficult. Even just getting certificates of interest from banks and building societies can take an age. When I printed the completed tax return out it was nine A4 pages of me mostly saying no to the questions. Simon J
Hi Simon, that is my concern, a ton of faff for no outcome. I think this year I will just keep things low key and might even end up at the refuse centre!
DeleteWell frankly I wasn't aware of these changes, so thanks for the 'heads up' Norm! Interesting to read Elenderil's take on this too, but luckily our old neighbour still works for the HMRC, so I will be able to check in with them when I next pop round to do the garden...
ReplyDeleteI'm not sure if I'm the 'S' you refer too, but certainly thses smaller games are really working for me this year, even though I've hit a bit of a fallow patch. Maybe it's an age thing, but I no longer really feel the need for very big games, having done those in the past. Something that I can finish in 1-2 hours and with that 'magic' 12 units per side, just works for me on so many levels. For a big game like Antietam, I would certainly go down the route of your current ACW board game purchase, which again seems to tick many boxes, especially being able to finish the game in an evening!
Interesting to see you've dabbled in 10mm, but already that initial surge of interest appears to be waning. As you well know, I'm just wedded to 10mm and have been for around 15 years now, as it gives me enough detail for painting, but not too much so that it becomes a pain in the proverbial;)!
Hi Steve, no, another ‘S’ but as you note, a similar outlook. Agree with the shorter game, which by implication points towards a smaller game. There is similar mood music on other blogs, so we are not alone!
DeleteI need to have a clear out if books and figures. I'll probably go for a bring n buy at a show. Just incase?
ReplyDeleteOnly trouble is the last time I did just that. Some sod pinched a luvvly unit of the Royal American Rifles that I paited up, do you can't win either way?
Hi Ray, It has made me a more reluctant seller. Oh No, a theft at a show, there was a time when that would NEVER have happened.
ReplyDelete