So i let my friend use my ebay account and now i have to file income taxes because he has made a payoff of over $2100. I also have financial aid that's $11,000 a year. Will this affect my financial aid? I'm really concerned because i was doing my friend a favor and now there might be some trouble. Are we technically partners on ebay or is it an individual selling market? Please I need serious answers.
2007-12-15 20:26:07 · 4 answers · asked by Help 1 in Business & Finance ➔ Taxes ➔ Other - Taxes
eBay transactions are not currently reported to the IRS, though the IRS would love to change that and Congress will likely oblige them eventually. Even so, should the IRS subpoena records from eBay, it's very likely that eBay would comply without putting up a lot of resistance.
Under the law, he who makes the income pays the tax. That would be your friend in this case. However the income appears to have been for your benefit should anyone examine eBay's records so there is a chance, however remote, that it could be questioned.
You should NEVER allow ANYONE to use your eBay account! If your friend wishes to sell something, let him get is own eBay ID and sell it himself! If he should be doing something illegal, like selling stolen goods, YOU could be implicated if you allow him to use your account. And if eBay discovers that you allowed someone else to use your account, you'll be banned from eBay permanently. RTFM, my friend!
2007-12-16 00:37:38 · answer #1 · answered by Bostonian In MO 7 · 1⤊ 0⤋
sure I even have been in this place and that i continuously pronounced some thing as a results of sentimental fee. extra on the line of a shaggy dog tale. My buddies presented to pay the money fee I in no way everyday as a results of fact in case you enjoyed some thing that lots you're able to not lend it out interior the 1st place. buddies are much extra effectual than my possession so i does not enable that come between us.
2016-10-11 09:38:58 · answer #2 · answered by ? 4 · 0⤊ 0⤋
It is an individual selling market...
Unless your names, SSN isn't on there... which I doubt since you say its your account
2007-12-15 21:04:59 · answer #3 · answered by Blabbermouthknowitall 2 · 0⤊ 0⤋
Your friend needs to report his/her sales and expenses, and you need to report yours, on your tax return.
2007-12-16 01:16:46 · answer #4 · answered by Judy 7 · 0⤊ 0⤋