eBay

burkecherann · ‎05-09-2021

Hi, can other sellers please share with me how I report my sales to the IRS. Mostly I sell for customers and receive a percentage of the sale, giving the rest to the owner of the item. I am an estate liquidator, so I find items that just won't bring a fair dollar in my area. When I report my earnings now to the IRS, my ebay percentage earned is in with the total estate sale earnings. But now ebay will report total sales, and I am only receiving a percentage of that. Not sure what to do? Your help is appreciated. Thank you.

nobody*s_perfect · ‎05-09-2021

You deduct the amount that you turn over to the estate.

dhbookds · ‎05-09-2021

You really need to talk to an accountant..........presuming you receive the total sales amt and then disburse.....you're going to need to report totals and then deduct your disbursements and apportion the costs........

sin-n-dex · ‎05-09-2021

@burkecherann wrote:
Hi, can other sellers please share with me how I report my sales to the IRS. Mostly I sell for customers and receive a percentage of the sale, giving the rest to the owner of the item. I am an estate liquidator, so I find items that just won't bring a fair dollar in my area. When I report my earnings now to the IRS, my ebay percentage earned is in with the total estate sale earnings. But now ebay will report total sales, and I am only receiving a percentage of that. Not sure what to do? Your help is appreciated. Thank you.

Your mileage may vary (because I'm in Canada), but I report gross sales and then provide receipts for shipping, eBay fees, and cheques remitted to the brick and mortar store to pay them their cut of what I've sold. Those all go as deductions against what I've received lowering the amount that is taxable.

C.