04-16-2024 07:55 PM
REAL SELLERS ONLY NO ANNOYING PEDANTIC moderator/BOTS Your comments are unwanted and frankly offensive. To the real sellers only: Gods chosen. A 1099-K turned in to IRS gonna make you reconcile EVERY sale U had. You go over the 5K You sell bunch cheap stuff, say 250 transactions for 6K. This going to IRS and you have to go over all and come up with a COST of EACH item. Ebay gonna furnish GROSS PROFIT they huge cut and shipping like you see on seller hub for net sales. BUTTTTTT I ain't got a clue what I paid 15 yrs ago for something. Only things that I know profit on is, FREE AKA things given to me and something recently bought and can see what I paid.
DO the IRS really thing you is gonna tell truth??????? U win $100 on Superbowl bet that taxable. U played poker 2 times and won $60 report. You grew and sold tomatoes from you backyard for $$$
This may shame a few into reporting small profits so reckon it be a small profit to IRS as well as a big job
ALSO for all the Little Goody 2-Shoe bragging about they report to IRS why would they not donate those profit to charity???????????? better giving to Gov to squander
Solved! Go to Best Answer
04-17-2024 04:58 AM
04-17-2024 05:13 AM
I fill out my Schedule C on my own and come up with a net income for my items sold on eBay. I then take our taxes to a professional. Yes, I only make a small amount, but my tax preparer does not question why I am filling out the form. Why? Because it's the law. Break the law and you will get caught and they can go back at least 3 years (or longer) if they suspect you haven't been filing when you should have been. I follow the law and am a real seller (no interest in being chosen by 'god'). You don't follow the law. Deal with the consequences.
04-17-2024 06:06 AM
I would say your own post is 'pedantic'.
04-17-2024 07:04 AM
Plan for providing the IRS your income and your expenses. It does not have to be complicated. You have many months to prepare for filling out the IRS forms. You can even plan and prepare your record keeping based on those forms and what the IRS needs and expects you to declare.
Bring along a notebook when you go to garage sales or buy on Craigslist or other purchases that are harder to track when you don't get a normal receipt. Record everything you buy. If someone gives you something, record that as well.
Keep track of things like mileage to the post office and thrift stores and garage sales. Keep receipts of everything. Use an expanded file folder if you need to. Run monthly reports to keep track of eBay details.
It may seem daunting if you wait until the 1099-K lands in your lap but if you start now, you will have all the information you need when you do get that form and have to file taxes on all your income.
Just so that you understand, everyone that receives incomes has some expectations that they may have to pay taxes on that income.
Some eBay sellers have felt immune from declaring their income because that income has never been reported to the IRS. That wasn't the case, but you now have a heads up that it will be reported.
Yelling at sellers here will not change anything. Do your due diligence and prepare now for next year's taxes so that it is not overwhelming when you get that 1099-K.
And just a head's up. I've never had to reconcile each and every item in detail that I sold on eBay. I report Income (money in) and expenses (money out)
04-17-2024 07:11 AM - edited 04-17-2024 07:14 AM
Ebay gonna furnish GROSS PROFIT
No they will not. The 1099-K reports the gross amount of payments processed. eBay makes no attempt to calculate your gross profit because they do not have that information.
DO the IRS really thing you is gonna tell truth? This may shame a few into reporting small profits so reckon it be a small profit to IRS as well as a big job
It will require everyone who gets a 1099-K to account for that income on their tax return. Whether those sellers choose to commit tax fraud is up to each seller.
ALSO for all the Little Goody 2-Shoe bragging about they report to IRS why would they not donate those profit to charity?
Why would I donate my profits to charity? I sell on eBay for the same reason I have a job - to make money for me.
04-17-2024 07:15 AM
You should be hearing from the IRS soon. Please gather all necessary documents and receipts for the past 5 years. Having the proper documentation will speed up the audit process.
04-17-2024 07:21 AM - edited 04-17-2024 07:25 AM
Probably not the smartest move to sound off on a public forum that you havent been declaring your Ebay income sales for nineteen years.
P.S. Looks like you sell an awful lot of new items that are 'given to you'.
04-17-2024 07:58 AM
I don’t have a problem with it. I report my income every year and not just from ebay. It is the law.
From selling items I inherited to items I bought for resale. I find it no big deal anymore.
04-17-2024 08:09 AM
"...after the show, don't forget to tip your servers....."
04-17-2024 08:20 AM
"gonna waste EONS of time for sellers"
Depends on how you value the freedoms paying taxes gives citizens in the USA. I usually set aside an entire weekend in the dead of winter to complete the project. If it's bad weather all the better. I go for simple meals and minimize distractions. I have small monthly or quarterly chores to organize paperwork that makes it easier.
We are all lucky to be American and should never take it for granted.
04-17-2024 08:35 AM
Those are things you need to be doing ANYWAY.
The only difference here is Ebay is sending paperwork to the IRS, so they know how much you sold. If you were selling the same amount before and not declaring your income, you were committing tax fraud.
04-17-2024 08:49 AM
@rosemary6525 wrote:DO the IRS really thing you is gonna tell truth???????
How old are you?
04-17-2024 09:50 AM - edited 04-17-2024 09:51 AM
@rosemary6525
I see your issue.
Try this. For every old, personal item that you sell on eBay (and ONLY those items). Just write the total cost that each sold for...AS they sell. Make a list and every time an older personal item sells, write down the TOTAL the buyer paid on that list (less the sales tax).
1) Coffee Maker $22.50
2) Stuffed Animal $13.50
3) Jeans $18.00
4) Just like that
At the end of the year, give that to you tax preparer and tell them those were personal items, sold for less than what you paid. They'll know what to do.
You can't go back and use the prices you paid.
Just don't lie to the IRS. You can, and you might get away with it, or you might not.
Appearance is important. If the IRS ever questions it, somebody might need to see that list. If there's 10 coffee makers on there, or 100 pairs of jeans? You probably be in trouble because that's not "normal".
They only time I've ever been in hot water? They questioned my (eBay Only) business by comparing it to other businesses that sold on (eBay AND local).
They wondered why I didn't report all my local sales. Of which I had none. And had a hell of a time convincing them of that.
But, they finally let it go. Probably because I wasn't dripping in gold jewelry and driving a new Ferrari.
The IRS may be relentless, with no room for common sense. But, they are not idiots.
Just don't lie to your accountant and generally, you'll be fine
04-17-2024 11:04 AM
OH NO! We should not be doing that around here. No one from the forums here should EVER purchase something from a seller they disagree with about something in order to cause them harm in ANY way.
It is NOT our job to enforce IRS rules. And you have no right to do something like this unless you are looking to get your own account into trouble.
While the OP seems to be very misinformed, you have NO way of knowing what you said. You are ASSUMING they haven't declared all their income.
Anyone that supports this kind of action is wrong as well and way off base. This is something that should NEVER be done here. NEVER !!!
04-17-2024 12:53 PM
that was only a suggestion to show how easy reporting fraudsters can be... relax, i ain't the snitch around here....