Accountants for Etsy Sellers
Etsy now shares seller data with HMRC, and anything over £1,000 gross in a tax year needs declaring. We handle the fees, offsite ads, materials, VAT and tax returns for makers and creative sellers across the UK.
More time to create, less time worrying about numbers
Etsy sellers often deal with product costs, platform fees, delivery charges, refunds, stock, VAT questions and Self Assessment deadlines. We help keep your records clear.
Sales, Etsy fees, materials, postage and business expenses recorded properly.
Self Assessment or company tax support depending on how your Etsy shop is set up.
Support with VAT, MTD and software such as Xero, QuickBooks or FreeAgent.
Support with recording Etsy sales, deposits, refunds and seller reports.
Materials, packaging, postage, tools and other business expenses organised clearly.
Help with VAT checks, VAT returns and digital records where required.
Self Assessment, Corporation Tax and annual accounts support.
Accountants for Etsy Sellers and Creative Businesses
Are you an Etsy seller spending more time on bookkeeping than creating products? Gondal Accountancy supports UK Etsy sellers with bookkeeping, tax returns, VAT, cloud accounting, annual accounts and business record-keeping.
The question most makers arrive with is whether any of this applies to them at all. If you are making or buying things to sell, that is trading — and once your gross income passes the £1,000 trading allowance in a tax year, it needs declaring. Etsy also shares seller data with HMRC now, so the position is worth establishing properly rather than assuming.
Whether you sell handmade products, crafts, artwork, printables, personalised goods or creative items, we can help keep your shop finances organised and tax-ready. We are based on Stratford Road in Hall Green, Birmingham, and work with Etsy sellers across the West Midlands and the rest of the UK.
Accounting Challenges Etsy Sellers Face
Running an Etsy shop involves more than sales. Your records need to show your real costs, profit and tax position.
Hobby or Business?
Making or buying to sell is trading, even if it started as a hobby. Above the £1,000 trading allowance it needs declaring — we tell you honestly which side of the line you are on.
Mixed Expenses
Many Etsy sellers mix personal and business spending, especially at the start. We help separate business costs clearly.
Materials and Stock
Craft materials, packaging, tools, stock and production costs need to be tracked properly to understand profit.
International Sales and VAT
Selling to customers in different locations can create VAT and record-keeping questions. We help you review the position.
Accountancy Services for Etsy Sellers
Practical accounting support designed for online sellers, makers and creative businesses.
Etsy Bookkeeping
Bookkeeping support for Etsy sales, platform fees, payment deposits, refunds, materials, postage, packaging and business expenses.
Self Assessment Tax Returns
Tax return support for self-employed Etsy sellers, including allowable expenses, income reporting and tax calculations.
VAT Registration and Returns
Support with VAT registration checks, VAT return preparation, Making Tax Digital and digital VAT records for Etsy shops.
Cloud Accounting Software
Help with Xero, QuickBooks, FreeAgent and digital bookkeeping systems to reduce manual admin.
Annual Accounts
Annual accounts and Corporation Tax support for Etsy sellers trading through a limited company.
Management Accounts
Profit and performance reports to help you understand costs, margins, best-selling products and cash flow.
Keep Track of Costs, Materials and Etsy Fees
As an Etsy seller, your costs may include materials, packaging, postage, platform fees, payment charges, equipment, software and other business expenses. Without organised records, it can be difficult to know whether your shop is truly profitable.
We help you build a clearer system for recording sales and expenses, so your tax return, accounts and business decisions are based on reliable figures.
Income Reporting
We help record Etsy sales and other income clearly for tax and business reporting.
VAT Navigation
Support with VAT registration checks, VAT return preparation and digital records where required.
Tax Return Confidence
Self Assessment and company tax support so your filings are prepared clearly and on time.
Benefits of Working With a UK Etsy Accountant
Good accounting gives you more time, better records and clearer insight into your Etsy shop.
Focus on creating
Spend more time designing, making, listing and selling your products.
Reduce tax stress
Keep your records organised for Self Assessment, VAT, annual accounts and tax deadlines.
Understand profit
See how Etsy fees, materials, postage, packaging and other costs affect your margins.
Plan for growth
Use better financial information to price products, plan stock and grow your shop.
Our Etsy Accounting Process
A structured process to make bookkeeping, VAT and tax reporting easier for Etsy sellers.
- We review your Etsy shop, trading structure, income, expenses, VAT position and current bookkeeping setup.
- You provide Etsy reports, bank statements, payment processor reports, supplier invoices, postage costs and expense records.
- We organise your sales, refunds, Etsy fees, materials, packaging, postage and business expenses.
- We prepare bookkeeping reports, VAT returns, Self Assessment, annual accounts or Corporation Tax support depending on your needs.
- We explain your figures clearly and highlight any tax, bookkeeping or profitability issues.
- We help improve your systems so your Etsy records are easier to manage going forward.
Ready to Level Up Your Etsy Business?
Speak to Gondal Accountancy for help with Etsy bookkeeping, tax returns, VAT, cloud accounting and ecommerce business support.
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More DetailsEtsy Accountants FAQs
Common questions about Etsy accounting, bookkeeping, VAT and tax returns.
Etsy selling and getting help
If your gross income from Etsy and any other trading is more than the £1,000 trading allowance in a tax year, you must register for Self Assessment and declare it. Making or buying to sell is trading even if it started as a hobby. We help you tell a hobby from a business and register if needed.
There is no legal requirement, but an Etsy accountant helps handmade and creative sellers record Etsy fees, offsite ads, materials and postage correctly, manage VAT and file accurate returns.
Yes. Our office is on Stratford Road in Hall Green, Birmingham, and we support Etsy makers and creative sellers across the West Midlands. Because shop reports and records are shared digitally anyway, we work with sellers anywhere in the UK on the same terms and the same fee.
VAT, fees and selling abroad
A UK business must register for VAT once taxable turnover exceeds £90,000 in any rolling 12-month period, or sooner if you expect to. Many sellers also register voluntarily to reclaim VAT on stock and fees. We run a VAT check before you register and handle your returns.
For certain sales Etsy acts as the "deemed supplier" and collects and remits VAT — for example low-value imports and many overseas-seller sales. You can still need to be VAT registered, and you must record Etsy fees, offsite-ad fees and payouts correctly. We make sure marketplace VAT is handled properly.
Etsy deducts listing, transaction, payment-processing and offsite-ads fees before paying you out. We split these out from your gross sales so your profit, expenses and VAT are accurate rather than just recording the net deposit.
Possibly. The One Stop Shop (OSS) covers B2C goods shipped within the EU and the Import One Stop Shop (IOSS) covers low-value imports into the EU (up to €150). Holding stock in the EU can also trigger local VAT registrations. We review your cross-border position and advise on the right scheme.
Tax, MTD, reporting and cost
Yes. Under the digital platform reporting rules, Etsy shares seller data with HMRC. You must declare trading profits, and you only avoid Self Assessment if your gross trading income stays under the £1,000 trading allowance.
All VAT-registered businesses must keep digital VAT records and file under Making Tax Digital for VAT. Sole-trader sellers also fall under Making Tax Digital for Income Tax by qualifying income — it already applies above £50,000, extending to over £30,000 from April 2027 and over £20,000 from April 2028. We help you get software and records ready.
Yes — we prepare Self Assessment for sole traders and directors, plus annual accounts and Corporation Tax for limited company Etsy businesses. The fee depends on your turnover, VAT status and how organised the records are. A part-time maker is a very different job from a VAT-registered company selling cross-border, so we look at your shop and agree a fixed fee before any work starts. It does not change afterwards, and the first conversation is free.
Business Sectors We Support