Check if you need to register as a digital platform operator
If you’re in the UK and run a digital platform that lets users sell goods or services, check if you need to tell HMRC about sellers on your platform.
If you run a digital platform in the UK, you may need to:
- collect and check information about sellers on the platform
- report details about sellers to HMRC
Who does not need to register
You do not need to register if you only:
- run a digital platform as a sole trader
- sell your own goods or services directly through your own website or app
- are a seller on a platform you do not run
If you’re a seller, check what details you need to give to a digital platform.
This service is to register as a digital platform operator. If you need to register for the Central Digital Platform and get a public procurement organisation number (PPON), read Suppliers: How to register your organisation and first administrator on Find a Tender in three easy steps.
What counts as a digital platform
Your app or website is a digital platform if both the following apply:
- it connects sellers to customers to supply goods or services, either directly on the platform, or indirectly by using third-party sellers of goods or services
- you hold or can easily calculate the amount paid to sellers for goods or services, or you can find out the amount from a third party
Example — clothes shopping app
You run an app that allows users to buy and sell clothes online. The app collects payments from buyers and then transfers the payments to sellers.
As your app handles transactions you know the amount paid to sellers. Your app is a digital platform.
Example — home rental website
You run a website which lets owners or their representatives advertise to rent out homes. The website allows renters to make payments at the time of booking or at a later date. You know the amounts paid for the rentals.
As your website connects renters to accommodation owners or their representatives and you know the amounts paid for rentals, your website is a digital platform.
Example — taxi booking platform
You use software to take taxi bookings. The software provides the customer with the expected cost of the journey. The customer pays the driver directly at the end of the journey.
During the journey, the customer asks the driver for a change, which is an additional cost. The customer pays this additional cost directly to the driver. You have no knowledge of the additional cost.
Your software connects customers to drivers. Although you do not know and cannot reasonably find out the amount agreed outside your software, you do know the amount paid for the job that is booked through your software, so it is a digital platform.
What does not count as a digital platform
Your platform is not a digital platform if it is:
- a website or app that only allows users to list or advertise products to sell
- a website or app that only redirects or transfers users to another website
- software that only processes payments
- software that only helps design and maintain websites
Example — online furniture marketplace
You run an online marketplace where users can advertise furniture to sell. Payment is sent directly from the buyer to the seller, through a bank transfer or cash, and you do not know how much the seller is paid.
Although your website connects users to sell goods, as you do not know and cannot easily find out how much the seller was paid, it is not a digital platform.
Who should register
You need to register with HMRC if you run a digital platform and any of the following apply:
- you reside in the UK
- you are incorporated under UK laws
- your business is managed in the UK
If your business is a partnership, only one partner needs to register (International Exchange of Information Manual: IEIM904415) on behalf of all the partners.
Sellers you need to report to HMRC
You need to report sellers who actively supply or are paid for goods or services on your digital platform and either:
- live in the UK or another country following the reportable jurisdiction rules (International Exchange of Information Manual: IEIM906100)
- manage property rentals in the UK or another country following the reportable jurisdiction rules (International Exchange of Information Manual: IEIM906100)
You do not need to report sellers who are:
- entities such as companies, partnerships, trusts or charities with more than 2,000 property rentals every year on the platform
- companies and related entities whose shares are traded regularly on a stock exchange
- sellers owned by a government
You do not need to report sellers getting a total of 2,000 euros or less (approximately £1,700) for fewer than 30 sales of goods in a year. This reporting exception does not apply to:
- the provision of services
- rental of transport
- rental of immoveable property
Registering as a digital platform operator
You need to register with HMRC as:
- a reporting platform operator if you are reporting sellers
- an excluded platform operator if you are not reporting sellers
You are an excluded platform operator if your entire business model either:
- does not allow sellers to profit from received payments, for example, a ride-sharing platform where the driver connects with passengers who contribute to the cost of travel
- has no sellers who need to be reported
How to register
Find out how to register as a digital platform operator.
Updates to this page
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Examples have been added about what counts as a digital platform.
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The link to reportable jurisdictions has been updated.
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Information that needs to be reported about all sellers has been added.
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Links have been added to register for the digital platform reporting service, submit reports and manage user details.
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The link to download the latest digital platform reporting XML schema in 'How to submit a report' has been updated.
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First published.