We reported this seller to HMRC VAT Fraud team in 2014 . HMRC finally took action against them in 2017.
HMRC has gifted this seller at least £1,184,406 in unpaid VAT. That’s 5% of the total £22.5m budget HMRC have allocated to tackle this fraud over the next 5 years.
eBayer Seller easylife-outlets (formally known as wedo-bestdeal) was making sales in the region of £2,368,812.00 in 2014. This equates to £394,802 of VAT a year.
They started trading on eBay.co.uk 6 years ago on 04 November 2009.
They list an untraceable company name without its legal status such as “Ltd”. They have a Chinese trading address and are listing a UK VAT number.
We purchased a product from the seller and made payment to PayPal account email@example.com. We asked for a VAT invoice and they replied:
“We not able to offer VAT receipt. We don’t add taxes, VAT or other hidden charges.”
Since The Daily Mirror expose on them in December 2014, they have started listing their VAT number as 152858000.
This VAT number is registered to:
NO 8 METROPOLE CHAMBERS
The address details of this VAT number have been updated since the Mirror article. In December 2014 the VAT number was registered to:
UNIT E, S A 1 BUSINESS PARK
The above address is the registered trading address of a Chinese owned Fulfilment Centre Global Storage Fulfillment Ltd – Incorporated in 2013.
The VAT number is not registered to wedo-bestdeal company name or address and is not a valid NETPs VAT number. It is issued in the name of a UK individual based in Swansea. It is VAT Fraud to use a VAT number issued to other people.
The VAT number 152858000 is also being used by Chinese seller on amazon.co.uk: swees-shop – Shenzhen Ruijin Trading.,LTD.
wedo-bestdeal was reported to Lin Homers CEO of HMRC & HMRC VAT Fraud Team in July 2014. As yet no action has been taken against wedo-bestdeal by HMRC.
Questions for HMRC to Answer:
- Who has been paying wedo-bestdeal’s £394,802 a year VAT bill for the past 6 years?
- Why, after trading on eBay for 6 years without being VAT registered, are they allowed to use someone else’s VAT number?
- Why is HMRC allowing this VAT evading seller to continue trading on eBay?
- How are you going to recover all unpaid VAT due from this seller; possibly £2.3million in unpaid and undeclared VAT?
- Why is HMRC allowing two different Chinese companies to use the same VAT number registered to a Chinese individual in Swansea?