Do you have to pay taxes when selling or buying in ebay?

Answer 1

If you're talking about income taxes, then yes if you're doing it as a business to make money. If you're just selling some of your old stuff, then probably not, since usually you're selling it for less than what you bought it for, and only the gain is taxable. Technically, if you sold just one item but for much more than you bought it for, then yes, the gain should be reported on your taxes.

Answer 2

You need the help of an accountant. Basically your profit (taxable income) is reported on your income tax return. Your profit is probabbly much less than you think (at least as far as the IRS is concerned). There are many things that would be deducted from your profit that you may not think about. Your internet connection, vehicle expenses(if you pick up and deliver merchandise), shipping expenses, etc. Your computer equipment can also be deducted (but probably only a little a year for 5 years or so, its called depreciation). A tax attorney or accountant would be the best person to consult to help you set up your financial records so you can properly prepare your tax returns for your business. As a single person with a reportable income of 40-50,000/year, you'll have a pretty big tax bill. Make sure you save at least 25-30% of your profit to pay your taxes in April. As a self-employed person, you'll probably need to make quarterly tax payments (every three months). Good luck with your business.

Answer 3

The seller can have state tax figured into the selling costs if you are buying in the same state. Some don`t as they are not claiming what they sold on their income tax. And I know for a fact they do because I sell on eBay and have a business so I charge tax to Texas residents. I do file this on my income tax when I am paid tax.

Answer 4

If you are cleaning out your closets once or twice a year, it's no problem, but if you're trying to make some money and you sell to anyone from your own state, you need to collect sales tax and pass it along to the state. Except New Hampshire where there is no sales tax. As far as paying taxes on things you buy, it depends on your state. In Maine, they are trying to crack down on it, and what they told me was that if we buy from someone who's doing it for a living, they want us to pay sales tax. But if it's a person who's just cleaning out their closets, no tax. You could check your state revenue office website to know for sure. I know a lot of people ignore the law, but I like to sleep at night.

Answer 5

Only if your a business selling or buying from a business....some states have an amnesty line on their income tax forms.
Of course no one has really debated the what tax to pay if you live in one state and buy from another.

Answer 6

The other answers mainly covered sales taxes. As for income taxes yes if you are honest. Use Schedule C to report your profit. If you are dishonest then don't report anything.

Answer 7

I know sellers are suppose to charge sales tax when they have a buyer in their own state.
As far as income tax, I don't think so. If we did have to pay taxes, they would send us a Form 1099 Misc. so we could put that as income on our Form 1040.

Answer 8

As far as I know, in my country--that is singapore, you don't to pay taxes when selling or buying in ebay.
Why don't you call your country's tax agency hotline for more information.

Answer 9

not that i've ever seen.

Answer 10

sometimes