Forum

Ebay, Paypal and Taxes.
 

I've been doing some research and can't seem to figure out the answer to my question. Do i need to report the earnings on stealth accounts? Say i am able to make $30k through stealth, with only 190 transactions, and have deposited the amount into my personal bank account throughout the year. Will i need to report this? I know some people report any income. And i know if we're working a 9-5 job that titles us employed, it's mandatory to report income. But since we are all selling on Ebay, is it mandatory to report. I've read yes's and no's on outside sources. But what do you guys recommend? Do you guys report your stealth income?

Re: Ebay, Paypal and Taxes.
 

While this is not a forum for financial advice, reporting income from online sales such as eBay is required by law in the USA if over a certain threshold. If you are making that kind of money through stealth, you should treat it as a business. Keep track of sales, returns, receipts, expenses, etc. Take a percentage out to make sure during tax season you are able to pay what you owe. This is how I always have done it. While there are probably people who do not report it, I would not recommend it. Your best option for more details is to seek business professionals or accountants. I am sure you will get a more definitive answer.

Re: Ebay, Paypal and Taxes.
 

Seems like you need to read the stealth guide.

Re: Ebay, Paypal and Taxes.
 

Yes.

Yes.

Yes.

As mentioned above, selling on Ebay is a BUSINESS. It may seem like a job, but it is a BUSINESS. The difference? You can write-off expenses incurred while conducting business. Those blue cat socks that you're making $50k/year on didn't buy themselves.

It is a whole lot less painful to pay the taxes you are legitimately required to pay vs skirting the system and risking penalties and/or jail time if you get caught. This isn't PP you're fooling.. its the IRS.