mechanic_warehouse

This seller operates three eBay business accounts and are the largest supplier of replacement iPhone, Smartphone & iPad screens on eBay.co.uk, with sales of £7,182,132 which equates to £1,197,022 of VAT a year.

This seller accounts for 24% of TOTAL sales of replacement screens on eBay.

Three eBay accounts

Account 1; mechanic_warehouse is making sales in the region of £3,663,132 per year. This equates to £610,522 of VAT a year. They started trading on eBay.co.uk 6 years ago on 29 January, 2009

mechanic_warehouse

Account 2; the_phone_depot is making sales in the region of £3,031,608 per year. This equates to £505,268 of VAT a year. They started trading on eBay.co.uk 3 years ago on 24 May, 2012. The VAT number 15373042 used on this eBay account is fake.

beautician_boutique

Account 3; phone_screen_warehouse is making sales in the region of £487,392 per year. This equates to £81,232 of VAT a year. They started trading on eBay.co.uk 3 years ago on 25 September 2012.

mechanic_warehouse Business Seller Account Details

They have provided a UK residential address, a company name without its legal status (.ltd).

Liya Liang
LL Trader
339 Southside
ST John’s Walk
Birmingham
West Midlands
B5 4TN

The address given is a “China Town” area of Birmingham.

Secret Shopper

We approached the seller and asked for a VAT receipt. The seller responded:

“We are sorry that the price we selling is not include VAT.”

This seller is declaring they are not VAT registered.

VAT Number

After further research, we found LL Trader also sell their products on Amazon.co.uk

On Amazon they list the same business address as eBay. They also list a customer service address of:

Unit E10, Explorer Voyager park,
Portfield road, Hilsea
Portsmouth
PO3 5FL
GB

This address belongs to a Chinese owned fulfilment centre Stone Bridge United Ltd.

What is particularly strange is that they list the VAT number 153730423 which is registered to Liya Liang & their UK address.

LL Trader Ltd

Companies house have listed a company LL Trader Ltd incorporated on 28 May 2014. The Director of this company is Mr Baochang Luo who gives his address as Suite 1604 32 Fuli Road, Liwan District, Guangzhou, Guangdong, China. The company is too young to file any accounts.

LL Trader runs a Chinese Aliexpress Store selling Smart Phone & Tablet replacement screens, which has the contact details of Liya Liang.

Questions for HMRC to answer:

  1. Why is this seller declaring that their prices do not include VAT?
  2. Is this seller using Paypal to launder £7,182,132 a year out of the UK and into China to evade paying £1,197,022 in VAT?
  3. Does the VAT returns of 153730423 account for £1,197,022 of VAT a year generated by LL Trading Ltd eBay accounts?
  4. Is the address given on their VAT return really their trading address?