eBay ? I got questions

coinmojo · Aug 5, 2009

Is the income from my eBay sales a taxable form of income?

Do they 1099 you?

Do they report your earnings to the IRS.

Is there a level system where they only report if you exceed a certain Dollar amount?

I have stepped up my selling and am now wondering if there are tax consequences.

Any help would be greatly appreciated.

Mojo

enamel7 · Aug 5, 2009

I think you're okay mojo. I haven't heard of anyone having to report that info.

bourassa5 · Aug 5, 2009

I'm sure your ok but eBay does say you are supposed to claim your earnnings on eBay but I'm guessing the Ira doesn't look into it nor does eBay send any info to them

Darth Walker · Aug 5, 2009

I work for the IRS and specialized in Coin Roll Hunters that sell on the e-bay and do not report earnings. LOL

All income suppose to be reportable. As if I know if the IRA can tract you. I do not know

DW

Silver Stripe · Aug 5, 2009

Paypal might if you cash out the over $500 a year bit, I don't know for sure just something to ponder. HH Mark

lostcauses · Aug 6, 2009

If you are making money on ebay report it as income.
Now if you bought some thing a few years ago for say 30, and now decided to sell it and got 20 you are losing money.

You get the point I hope. It comes down to are you making a profit on ebay. Such is taxable.

davew0710 · Aug 6, 2009

lostcauses said:
If you are making money on ebay report it as income.
Now if you bought some thing a few years ago for say 30, and now decided to sell it and got 20 you are losing money.

You get the point I hope. It comes down to are you making a profit on ebay. Such is taxable.

If you are declaring the profit, you can also declare the loss.

obediah · Aug 6, 2009

Darth Walker said:
I work for the IRS and specialized in Coin Roll Hunters that sell on the e-bay and do not report earnings. LOL

All income suppose to be reportable. As if I know if the IRA can tract you. I do not know

DW

Yes our Uncle does require you report the "income"; what is a red flag is the volume of sales you make, they do not have the personael to investigate- audit ALL ebay sales but that is rapidly going to change via computer programs & the linkup underway with Banks- Computer Banking systems. Ron Paul warned of this Big Brother agenda not too long ago. Any and all internet exchanges of money IS now a fact that is observed by our UNCLE. Not sure what the threshold is for reportable income though, when had a small biz in 80's it was 600 dollars.

maine_Jim · Aug 6, 2009

If you happened to sell 25 boxes of 2009 cents and make about 8k I would be prepared for a certain letter to appear instead of your tax refund next year....probably not but better to be ready for some explaining...

Maine_Jim

jonhls · Aug 6, 2009

I do a lot of sales on ebay,my accountant informed me that with the amount i had going into my checking account from ebay i should report it.She said that e-bay and paypal dont report it persay but if i would happen to ever get audited the would look at my checking account for past 7 years and i woul;d need to explain what all the deposits were if i had not claimed tthem.Any unreported deposit amount would be looked at by irs as unrepoeted income.I do 50k a year in sales and since i have An 8% profit margin i can write a lot of the profit off as expenses....This will be my first year claiming it but she claims in long run its much safer...will see how it goes if its to much hassle ill just stop ebayin....ohhh by the way if you were to use all you paypal money to buy other items off ebay such as silver rounds or gold coins you would not have any deposits and therefore nothing to claim.If i was just doing 5k or so a year thats what i would do...then if i needed to resell locallaly.even if you lost a small amount on the future sale would be less than the tax bite...just a thought...hh jon

greg23 · Aug 6, 2009

Well in Canada,now if you make over $1,000 in profit on E-bay,you have to pay tax on it.Revenue Canada is going back 5 years and seeing Who is Making At least $1,000.As if We Canadians already dont get taxed enough!!!!!

silvercop · Aug 6, 2009

an audit would be the only way you might run into a snag. paypal and ebay would have to have your social security number or your federal tax id to report your sells.

jim4silver · Aug 6, 2009

All profit would be taxable for your sales of PMs. Losses would be deductions against the gains.

I am not aware of any threshold that must be met before a profit is taxable or not.

Generally, sales of PMs would be considered hobby profits. Unfortunately, there is no long term capital gain advantage for hobby profits.

If you operated an actual for profit business, you could possibly get some other business type deductions.

You should consult a knowledgeable CPA regarding these issues.

Jim