Do / Should You Report Ebay Sales to IRS

Welcome to Nintendo 64 Forever. We hope you enjoy your visit.

You're currently viewing our forum as a guest. This means you are limited to certain areas of the board and there are some features you can't use. If you join our community, you'll be able to access member-only sections, and use many member-only features such as customizing your profile, sending personal messages, and voting in polls. Registration is simple, fast, and completely free.

Join our community!

If you're already a member please log in to your account to access all of our features:

Do / Should You Report Ebay Sales to IRS
Tweet Topic Started: Mar 17 2012, 10:17 PM (1,186 Views)
SicCooper	Mar 17 2012, 10:17 PM Post #1
Veteran Posts: 1,440 Group: Senior Members Member #611 Joined: September 16, 2011	I have never had a "real" job, and for this reason I have never filed taxes. I have been selling more and more on Ebay, have become a Top Rated Seller, and am starting to worry that the IRS will come after me. The first sale on my account was on 06/24/2011 Since then, I have had 330 Transactions With total sales of $5,972.98 Should I be worried? Is there a certain point that you reach where you are required to file? I have to buy everything, and pay about 50% of what I sell for on most things, so I actually have profited half of my sales number. I don't use money I make off Ebay to live (most of the time) because I have student loans that pay for living expenses. The IRS has no way to tell how much I actually spent on the items I sold, so they cannot possibly know how much I actually made, they can just see the total sales, which is obviously MUCH more. Have any of you guys reported Ebay sales to the IRS before? and if so, were your total sales around mine? Let me know your guys input.



quagga	Mar 18 2012, 03:35 PM Post #2
ASDFGHJKL Posts: 571 Group: BANNED !! Member #427 Joined: February 1, 2011	SicCooper Mar 17 2012, 10:17 PM I have never had a "real" job, and for this reason I have never filed taxes. I have been selling more and more on Ebay, have become a Top Rated Seller, and am starting to worry that the IRS will come after me. The first sale on my account was on 06/24/2011 Since then, I have had 330 Transactions With total sales of $5,972.98 Should I be worried? Is there a certain point that you reach where you are required to file? I have to buy everything, and pay about 50% of what I sell for on most things, so I actually have profited half of my sales number. I don't use money I make off Ebay to live (most of the time) because I have student loans that pay for living expenses. The IRS has no way to tell how much I actually spent on the items I sold, so they cannot possibly know how much I actually made, they can just see the total sales, which is obviously MUCH more. Have any of you guys reported Ebay sales to the IRS before? and if so, were your total sales around mine? Let me know your guys input. i dont think so they dont charge you taxes on paypal so i dont think u have to report to the IRS



DeeMoney	Mar 18 2012, 06:39 PM Post #3
Outback Adventurer Posts: 6,734 Group: Admin Member #658 Joined: November 10, 2011	Depends on weather in the US you guys have a tax free threshold. In Australia we have this, so you can always earn a certain amount before you have to pay tax. I think you should be fine to wheel and deal what you want. It;s not like your making hundreds of thousands a year selling games which is still classified as a hobby.
	Nintendo Network ID - DeeMoney19 PSN Network ID - hallxx81xx Xbox Live Gamertag - DeeMoney 2K19


acomicbookguyc	Mar 19 2012, 02:02 AM Post #4
That's What She Said Posts: 274 Group: Senior Members Member #752 Joined: February 13, 2012	Once you pass $20,000 in sales on paypal you are obligated to pay taxes.
	WTB or trade for tons of N64 games and Accessories. http://nintendoage.com/forum/messageview.cfm?catid=56&threadid=69480 For trades go to my for sale thread. http://nintendoage.com/forum/messageview.cfm?catid=6&threadid=39946


SicCooper	Mar 19 2012, 04:42 AM Post #5
Veteran Posts: 1,440 Group: Senior Members Member #611 Joined: September 16, 2011	acomicbookguyc Mar 19 2012, 02:02 AM Once you pass $20,000 in sales on paypal you are obligated to pay taxes. how do you check total sales in paypal?



clarky_n64	Mar 19 2012, 09:27 AM Post #6
Modding Monster Posts: 2,184 Group: Staff (Ret.) Member #366 Joined: September 27, 2010	acomicbookguyc Mar 19 2012, 02:02 AM Once you pass $20,000 in sales on paypal you are obligated to pay taxes. Net profit?
	Clarky & Smithy Creations YouTube Channel


acomicbookguyc	Mar 19 2012, 05:14 PM Post #7
That's What She Said Posts: 274 Group: Senior Members Member #752 Joined: February 13, 2012	clarky_n64 Mar 19 2012, 09:27 AM acomicbookguyc Mar 19 2012, 02:02 AM Once you pass $20,000 in sales on paypal you are obligated to pay taxes. Net profit? THIS!
	WTB or trade for tons of N64 games and Accessories. http://nintendoage.com/forum/messageview.cfm?catid=56&threadid=69480 For trades go to my for sale thread. http://nintendoage.com/forum/messageview.cfm?catid=6&threadid=39946


Norcal	Mar 20 2012, 10:29 AM Post #8
Posts: 805 Group: Senior Members Member #771 Joined: February 25, 2012	I wouldn't worry about it unless you have a business or something



Mk II	Mar 20 2012, 03:29 PM Post #9
Elite Posts: 4,493 Group: Staff (Ret.) Member #381 Joined: November 7, 2010	If in any doubt, go on the interwebs and check the rules and numbers for your country; the taxman is the last person on earth you want to pick a fight with! You can get away with a lot if you're jsut dabbling a bit but in my (and i think most other) country any sort of economic gain is taxable in principle. Of course nobody will enforce this for run-of-the-mill private sales but if you repeatedly go out to buy stuff with the sole intention of selling it you are basically running a business. If you make thousands in profit, im sure the IRS or Inland Revenue will want their part of it. And if you are on any kind of benefit or income support, the rules are usually even stricter (as in: you are not allowed to earn anything extra with reporting it)


« Previous Topic · Social Board · Next Topic »