I want to purchase wholesale items as a LLC but I wonder if I can take those products and sell them on ebay instead of my online store?
2007-02-28 10:59:14 · 8 answers · asked by Bri up 1 in Business & Finance ➔ Taxes ➔ Other - Taxes
I dont see any problem but u should clarify these legal issue with local tax consultants
2007-02-28 12:42:02 · answer #1 · answered by Prospect 2 · 0⤊ 1⤋
Yes - excise taxes. Its relatively new that you're required to pay them for online stuff since they didn't really know how they'd enforce it and its still not really enforced that often (as far as I know).
The state you pay them for is the state you are selling them from and you pay their sales tax %. If you end up paying sales tax in another state that has lower sales tax and you buy it here, you are SUPPOSED to pay the difference to your resident state.
2007-02-28 23:04:07 · answer #2 · answered by Mark 2 · 0⤊ 0⤋
If you have a sales tax permit (aka reseller's permit), you can provide that to most wholesalers and not have to pay sales tax yourself. You would then collect sales tax from your customers and send that payment to the state.
2007-02-28 19:03:23 · answer #3 · answered by Brian G 6 · 2⤊ 0⤋
Yep, sure do! However you turn a profit, the income is always taxable. And if you are a business, you must collect and remit sales tax for any items shipped to customers in your state.
2007-02-28 20:09:42 · answer #4 · answered by Bostonian In MO 7 · 1⤊ 1⤋
You're supposed to pay taxes on ALL income, regardless of the source.
Ebay will turn over records, if asked. But they don't automatically report anything to the IRS, because they are not paying you - you pay them. But if the IRS audits you, and they ask ebay for your records, they will tell them how much you took in, bid-wise.
2007-02-28 19:04:45 · answer #5 · answered by Anonymous · 2⤊ 1⤋
Yes, and it depends on your local taxing authorities. You could be liable for sales tax to your county and state, and then your income is taxed by the state (if applicable) and by the federal government.
2007-02-28 19:08:43 · answer #6 · answered by Anonymous · 1⤊ 1⤋
Yes, you pay taxes on income, derived from any source.
Your income is your Revenues less your costs.
2007-02-28 19:02:57 · answer #7 · answered by Peaches 4 · 1⤊ 1⤋
i just learned this in class! you're suppose to, but no one ever does is what my teacher said.
2007-02-28 19:01:49 · answer #8 · answered by RattyTat 2 · 0⤊ 3⤋