Etsy Accountant UK

NDCA works with UK Etsy sellers, from craft makers running a shop alongside a job to full-time traders shipping hundreds of orders a month. We reconcile Etsy Payments, fees and payouts, and handle your VAT, stock and Self Assessment or limited company accounts, for a fixed monthly fee as an ACCA-regulated practice.

As an accountant for Etsy sellers UK, we handle the accounting so you can focus on making and selling: Etsy Payments reconciliation, fees, Offsite Ads, VAT and annual accounts, all covered by one fixed monthly fee with a named accountant who understands how Etsy sellers work.

Accountant for Etsy Sellers UK: How Etsy Sellers Get Paid

Etsy Payments settlements

Etsy pays sellers through Etsy Payments, batching sales into deposits after deducting its own fees, so your bank balance is not the gross sale value. We reconcile each deposit against your sales, fees, refunds and payouts.

Etsy fees

Listing fees, transaction fees, payment processing fees and Offsite Ads are all deducted before payout, adding up fast across hundreds of listings. We build these into your bookkeeping.

Handmade, vintage and craft supplies

Whether you sell handmade products, vintage items or craft supplies, we track stock and finished products so your margins are based on real figures, not guesswork.

Digital downloads

Digital downloads can have different VAT treatment from physical goods, especially for customers outside the UK. The correct treatment depends on the customer, the place of supply and the product itself.

Print-on-demand

If you use a print-on-demand supplier, we account for the revenue, platform fees and production costs separately so you can see your actual margin.

If you also sell on Amazon or Shopify, we bring every channel into one set of accounts. See our wider e-commerce accountant hub if you trade across several platforms.

Tax and VAT for Etsy Sellers

Hobby or trading

We start by establishing whether your Etsy activity amounts to a trade, not just whether you sell regularly. HMRC looks at your intention to profit, how organised the selling is, and whether goods are bought or made for resale. The £1,000 trading allowance helps with small amounts, but does not make £1,000 automatically tax-free.

VAT registration

VAT registration is generally required once taxable turnover exceeds £90,000 in a rolling 12-month period, or is expected to. The rules depend on your supplies, including overseas sales, physical versus digital products, and other sales channels.

Selling to EU customers

Selling to EU customers can create additional VAT considerations. Schemes such as the EU One Stop Shop may simplify reporting, which we assess and handle where it applies.

Stock and cost of goods sold

Materials, work in progress, finished products and packaging all need tracking to know your true profit, whether you hold stock or work made-to-order.

Sole trader or limited company

There is no fixed profit level at which becoming a limited company automatically makes sense. The right structure depends on your profits, personal income needs, other income, how much you plan to leave in the business and your longer-term plans. We compare the options using your actual figures.

We also handle your VAT returns, bookkeeping, annual accounts and Corporation Tax.

How NDCA works

As your accountant for Etsy sellers UK, you get a named accountant who understands how your Etsy shop operates, from Etsy Payments and platform fees to stock, VAT and your wider finances. You pay one fixed monthly fee with no surprise bills, and your numbers stay current in Xero. We are ACCA-regulated and aim to answer within one working day.

The software we use: Xero and Link My Books

As your accountant for Etsy sellers UK, we use Xero as the core bookkeeping platform, paired with Link My Books to pull in your Etsy Payments deposits and break each one into sales, fees and refunds. This gives you an accurate, up-to-date picture without hours of manual reconciliation, reviewed by your accountant each month. We also use Apron for secure document sharing.

Etsy accountants across the UK

As an accountant for Etsy sellers UK, NDCA works remotely with clients across the country, wherever your business is based.

Etsy fees and payouts a mess?

Etsy fees, refunds and payouts all reconciled properly, every time.

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Switching to NDCA

You approve the engagement, and NDCA contacts your existing accountant for professional clearance. We collect your records, set up or transfer Xero and Link My Books, and take over the ongoing work. Most switches complete within two to three weeks, depending on your previous accountant and the records available.

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Etsy seller accounting FAQs

NDCA charges a fixed monthly fee based on the size and complexity of your shop, rather than billing by the hour. Tell us about your Etsy business and we will come back with a quote, usually within one working day.
Many sellers manage the books themselves early on, but professional support helps once sales grow, VAT applies, or stock needs tracking properly. We help you get set up and keep it accurate as you grow.
The key question is whether your activity amounts to a trade, based on your intention to profit, how organised and frequent the selling is, and whether items are bought or made for resale. We help you work out where that line sits.
VAT registration is generally required once your taxable turnover exceeds £90,000 in a rolling 12-month period. Overseas sales, digital products and marketplace arrangements can all affect your position, so we check your specific circumstances.
Yes. We account for Etsy alongside Shopify, Amazon, eBay and other channels, bringing every platform into one set of accounts so you have a single, accurate view of your business.
Common business costs, including materials, packaging, postage, Etsy fees, advertising and equipment, may be allowable where they meet the relevant tax rules. Where a cost is part personal, only the business element may be claimable.
There is no fixed profit level at which becoming a limited company automatically makes sense. The right structure depends on your profits, personal income needs, other income, how much you plan to leave in the business and your longer-term plans. NDCA can compare the options using your actual figures.

Ready to get your accounts under control?

Get Etsy Payments, fees, VAT and Self Assessment sorted with fixed monthly fees.

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