Reselling software on ebay in the UK, VAT rules and other issues selling

I recently listed a production software license transfer for sale on ebay, using a template that it suggested and obviously changing the listing to personalise it for my sale.

eBay then automatically added VAT to my listing as well as buyer protection and suddenly my listing jumped from £205 to £254, which is quite a leap. I’ve no issues with Buyer Protection fees as it covers us all from bad sellers and ebay has to make it’s profit too. My issue then is the VAT, seeing as i’ve already paid it once and i’m listed as a private seller who occasionally sells stuff I don’t use anymore, not a business. Suddenly my listing was still a bit cheaper than other similar listings, but far less competitive.

I’ve read HMRC’s definition on digital sales and this to me isn’t clearly defined, as although it mentions software, it mentions it with the definition of selling using an automated process or link and even suggests from a business too. It just doesn’t sound like it covers all bases clearly and well defined.

Since I listed it however an ebay ‘agent’ has removed my listing for not meeting the terms of the place I sold it, ie me following a previous sale’s template in an area of music and production that presumably it had no issue with for the previous seller, and informed me that it now has to be listed in a Classified ads section of ebay.

I spoke to an agent who also informed me to just try again. Which I did, then they removed my listing again.

I then spoke to another agent who told me it was being posted in the wrong area and has to be posted in classified and to appeal if I disagree.

I love the security of ebay as a buyer and seller, but this whole issue blows.

Where do people sell their license these days as if ebay doesn’t have buyer/seller protection in classifieds, then it sucks?

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In response to my appeal…

"…We reviewed your appeal of an action on your account. Upon further review, we’re unable to grant your appeal because the listings aren’t following our Electronically delivered items policy. Please understand you listed “Ableton Live 11 Suite - Full License Transfer” on our site, however the category chosen “breadcrumbSports, Hobbies & LeisureMusical Instruments & DJ EquipmentPro Audio EquipmentSoftware, Loops & Samples” is incorrect. If we allow such items to be listed in a non-Information products category, then the shipping format has to be physical delivery. We fear, allowing a digitally delivered item in Non-Information product category would encourage sellers to infringe the Intellectual Property rights of others or violate the law. Hence, in order to prevent any bad shopping experience, we request you to list the item in “Everything Else > Information Products” category in the classified ad format. Your co-operation is valuable in this regard.

What this means for you:

We need you to take action to avoid listing items like this again.

  • Listings that didn’t follow this policy will remain removed or hidden until they can be edited to address the policy issue.
  • Any restrictions or suspensions that may have been placed on your account will remain in place. Listings will automatically be restored and show up in search results after the end of any temporary restriction.
  • Please ensure that you understand our policy so that you follow it in future listings. Listings that don’t follow this policy in the future may result in additional actions, which could include: restriction, suspension, hiding listings from search, ending listings, loss of seller rating, and forfeiture of fees.

Here’s a list of the items that didn’t follow policy:
Item: 187708008300 Ableton Live 11 Suite - Full License Transfer - Mac/Windows
Reference ID: 2-199596003317

If you believe a mistake has been made, you may have the right to have this decision reviewed under the applicable laws by a competent court or settlement body. eBay can retain your content for only six months from the date of the original notice. After this, it may be permanently deleted in its entirety and unrecoverable.

Thanks for giving us an opportunity to resolve this issue. If you have any questions or concerns, just get in touch and we’ll be happy to help.

Thanks,

eBay"

Ps I’ve altered the reference and item number.

It’s the double standards though, ie there are hundreds of licenses transfers for sale, so why was mine selected? I have perfect feedback and don’t normally sell software. Ableton perform the transfer themselves, so it isn’t a crack or code I was selling. This must be a very grey area if sales persist from other sellers.

I’d not consider eBay for software resale to be honest. I’ve only looked there as a last resort. Before that I’d go to the KVR sales pages and Knobcloud. Not much help with the eBay thing but it could be better selling on the others if you’ve not tried them.

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Thanks. It’s better to sell anyway than keep hold of I guess as I bought Ableton Live 12 Suite from ebay for a great price recently (the irony) knowing (so I thought) that I could sell 11 and be less out of profit than a direct upgrade through Ableton.

This has blown that theory out of the water though, although only for some of us it seems.