Total sales / trading revenue for the year
Cost of goods, platform fees, shipping, etc.
Trading Profit
$22,000.00
Tax on Trading
$6,600.00
You Keep
$15,400.00
Marginal Rate
30.0%
Understanding trading income tax in New Zealand
Trading income in New Zealand
If you regularly buy and sell goods for profit, you are running a business and must declare your income to IRD. This includes selling on Trade Me, eBay, Facebook Marketplace, or through your own online store.
When is selling taxable?
Selling personal items you no longer need is generally not taxable. However, if you buy goods with the intention of reselling them for profit, or you are trading regularly, the profit is taxable income that must be declared to IRD.
Deductible expenses
You can claim expenses directly related to your trading activity: cost of goods sold, platform and listing fees, shipping costs, packaging materials, and a proportion of home office costs if you work from home.
IRD-Aligned: Uses 2025-26 NZ marginal tax rates. If your taxable activity exceeds $60,000 in 12 months you must register for GST.
Disclaimer: This calculator provides estimates based on current HMRC rates and thresholds for the 2025/26 tax year. It does not constitute professional tax, financial, or legal advice. Your actual liability may differ depending on your individual circumstances. Always consult a qualified accountant or tax adviser before making financial decisions. Read our terms
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