Skip to main content
E
EE16
September 21, 2024
Question

How to categorise goods bought for resale

  • September 21, 2024
  • 1 reply
  • 0 views

Hi

 

I run a reselling business where I sell my goods online. I'm trying to record my transactions for the items I've bought for resale but I can't really find a matching category. Closest I can find is "Cost of Goods for Resale" which seems correct on the face of it but the information icon suggests that this is for producing the goods, I obviously don't produce the goods.

 

I've searched online and people say to use "Inventory" but that's not available for me.

 

Any help will be appreciated.


Thanks

1 reply

S
SoleTraderJoe
October 21, 2024

Hi,

"Cost of Goods for Resale" is the correct category for recording expenses related to items bought for resale. While it is used for "production", it also applies to buying items for resale, covering costs like purchase prices and shipping fees.

Make sure all items purchased are recorded with receipts for HMRC compliance.

This also might be helpful: https://www.pie.tax/tax-pible/how-to-report-online-sales-to-hmrc

Terms & ConditionsAccessibility statement