How do taxes work for an Ebay Business?

Question

I am setting up an ebay Buisness as an LLC (Ltd. Liability Corp.) and I was wondering how taxes work. How do you know how much to give, when to give it, who to give it to, and so on. Thanks!

Answer 1

You shouldn't be starting any business until you have learned this stuff, and asking strangers on a web page does not qualify as learning. We could say anything we please.

Your best bet is to get the help of a CPA, or ask your state, because you will at least need a seller's permit and to pay business tax. After that, it's a state by state issue.

Answer 2

If you are setting up a business, you should consult a professional tax adviser. The money you are trying to save by soliciting free and often unqualified opinions on the Internet, may prove to be a costly option. The penalties for making incorrect/uninformed decisions or noncompliance with tax laws will cost you much more than 2 hours with a CPA.

Answer 3

As others have said, you need a professional tax adviser. The taxes are the same as for a traditional business. Use of EBay makes no difference.

Answer 4

eBay is the largest online marketplace and one of the most popular ways to earn an income from home with a PC and internet connection. Selling on eBay is inexpensive and easy to start. Ebay has a number of tools for sellers to maximise sales. These are eBay Pulse, Hot items report, merchandising calendar. By sourcing products at a low price, you can increase your profit. Check out http://tinyurl.com/rygsh for more details.

Answer 5

If you are in any kind of business you need an accountant, (CPA) to worry about this for you. The tax laws vary from state to state, and only a few of the states require tax collection from out of state internet sales. It also varies on goods that you buy tax free to resale.