How does US Ebay timeline work/look for building seller acc?

[durden666]

Experienced UK ebay seller running multiple ebays here.

Looking to expand to US. All my items will be dropshipped so I will not be in the USA.

Have started a few USA ebays months ago. How does the timeline look in regards to what information ebay requests, so i can be prepared?

As in, when do they ask for SSN? at what $ of sales do they ask for a 1099k?

how does this process work exactly if I'm running a stealth account?

I am looking to run multiple accounts doing 2.5k-5k in sales per month. Taking this into account am I better sticking to personal accounts or converting them all to business and doing the LLC method? If LLC, can anyone point me in the right direction to learn how to do this under stealth details ?

Thanks

[Papyrusman]

For the 2024 tax year, eBay sellers in the U.S. will receive a Form 1099-K if their gross sales exceed $5,000. However, the IRS plans to lower this threshold to $2,500 in 2025 and $600 in 2026.

Have they not asked you for a SSN yet as an individual seller?

[durden666]

Originally Posted by Papyrusman

For the 2024 tax year, eBay sellers in the U.S. will receive a Form 1099-K if their gross sales exceed $5,000. However, the IRS plans to lower this threshold to $2,500 in 2025 and $600 in 2026.

Have they not asked you for a SSN yet as an individual seller?

no, only sold a few hundred dollars of items, no where near it.

how does the 1099k work? is it sent in the post via phyiscal letter to the address of the SSN person? is it emailed via ebay?

Is it as easy as just filling it out online and thats it?

[Papyrusman]

You get an email about the 1099k and then it is available in your "document library" or whatever they call it in your seller center on Ebay.

Is what as easy as filling it out online? Taxes?

[SaiJin]

Originally Posted by durden666

no, only sold a few hundred dollars of items, no where near it.

how does the 1099k work? is it sent in the post via phyiscal letter to the address of the SSN person? is it emailed via ebay?

Is it as easy as just filling it out online and thats it?

You download it from eBay once they tell you it's available, then you fill it up and send it to uncle sam

[durden666]

Originally Posted by SaiJin

You download it from eBay once they tell you it's available, then you fill it up and send it to uncle sam

Sounds fairly easy, So I can just proceed selling and building my USA account as normal, Then Ill just get 1099k and send it off electronically back to uncle sam. Is there any potential issues that can cause me to get my account banned in the future If i dont take necessary steps now to prevent those future problems?

Never worked with USA ebays and SSNs so just want to try avoid loosing months of work building ebays over one small mistake.

Originally Posted by Papyrusman

You get an email about the 1099k and then it is available in your "document library" or whatever they call it in your seller center on Ebay.

Is what as easy as filling it out online? Taxes?

Yeah basically.

Still waiting for the ID verification to hit the account at around 800$ in sales. After this Im assuming ill get an electronic 1099k in my ebay inbox at around 2500$ in sales. So Ill be able to fill out the 1099k at this point, under the stealth account details with same SSN. Send it off electronically, and thats it? They wont bother me for another year? Guessing I can say I bought 4000$ of goods and sold for 2500$ at a loss, (personal goods, old clothes, etc) ?

[Papyrusman]

As a foreign citizen, I wouldn't be able to tell you much about filing your taxes at the end of the year. My businesses are sole-member LLCs, so I file a schedule C form on my end-of-year taxes, and all my 1099K info gets rolled into that.

[durden666]

Originally Posted by Papyrusman

As a foreign citizen, I wouldn't be able to tell you much about filing your taxes at the end of the year. My businesses are sole-member LLCs, so I file a schedule C form on my end-of-year taxes, and all my 1099K info gets rolled into that.

Im foreign aswell. I dont really care about anything other than what steps to take to keep the ebays running, and doing 2.5-5k sales per month on each.

Is it more beneficial would you say, to set the ebays up as business accounts, instead of personal, and route everything through an LLC ?

is it even possible for me to set it up this way being a foreigner, who is not even in the US ?

[Papyrusman]

Yeah you can be a foreign owned LLC. I think the process from the government requires a little bit more info than it would a citizen.

This might make sense as the government couldn't give two ****s about ebay and ebay just wants you to pay taxes.

You can even have LLC's that are owned by other LLC's. So in the above statement, the income should pass through to the parent entity. You may want to speak to a professional about that though, I'm just some dude on the internet.

[JamesNorth101]

https://www.aspkin.com/forums/ebay-d...ay-usa-ny.html

Not much had changes since the last thread on it

Your best talking to a formation company that can go over the details with you on how the tax system will work for you oversea.

[agent006140]

I think some of you do not understand 1099K,Ebay will send you and IRS each a copy,you use it to help you file your income tax return,IRS does not want to see your 1099K,it has a copy already.
If your accountant does your return,then you give your copy to him so he can use it to prepare your tax return.
1099K goes by SSN,if your SSN belongs to someone else,IRS will add the sales $$ on your 1099K to that person,he runs the chance of being audited as he fails to include your sales /income in his return.
It is illegal to use other people's SSN.
(Worse,that person may be selling on Ebay as well)

[SaiJin]

Originally Posted by durden666

Sounds fairly easy, So I can just proceed selling and building my USA account as normal, Then Ill just get 1099k and send it off electronically back to uncle sam. Is there any potential issues that can cause me to get my account banned in the future If i dont take necessary steps now to prevent those future problems?

Never worked with USA ebays and SSNs so just want to try avoid loosing months of work building ebays over one small mistake.




Yeah basically.

Still waiting for the ID verification to hit the account at around 800$ in sales. After this Im assuming ill get an electronic 1099k in my ebay inbox at around 2500$ in sales. So Ill be able to fill out the 1099k at this point, under the stealth account details with same SSN. Send it off electronically, and thats it? They wont bother me for another year? Guessing I can say I bought 4000$ of goods and sold for 2500$ at a loss, (personal goods, old clothes, etc) ?

Just make sure you send the paper wok in and the pauyment before tax due date.

[Papyrusman]

Originally Posted by agent006140

I think some of you do not understand 1099K,Ebay will send you and IRS each a copy,you use it to help you file your income tax return,IRS does not want to see your 1099K,it has a copy already.
If your accountant does your return,then you give your copy to him so he can use it to prepare your tax return.
1099K goes by SSN,if your SSN belongs to someone else,IRS will add the sales $$ on your 1099K to that person,he runs the chance of being audited as he fails to include your sales /income in his return.
It is illegal to use other people's SSN.
(Worse,that person may be selling on Ebay as well)

100% this. It is just a form you use to fill out your tax filing.

[agent006140]

some of us if we have hired someone to work for us,would need to issue 1099 to that person,it depends on how much $$ you paid him

[durden666]

Originally Posted by Papyrusman

100% this. It is just a form you use to fill out your tax filing.

my problem is i dont have "contact" with my friend whos ebay account / ssn it is. Will this be a problem for me?

[agent006140]

you need SSN,
why cant you just use your UK account to sell,you have to pay a listing fee

[murdered_by_ebay]

are you sure you can open US bank accounts?

[JamesNorth101]

Originally Posted by durden666

my problem is i dont have "contact" with my friend whos ebay account / ssn it is. Will this be a problem for me?

Yes that is going to be a problem.... of course.

You will need their cooperation

Just use a UK account and sell on ebay USA if you 1 - cannot get an SSN or EIN and 2 - cannot get a US bank account

[agent006140]

Not only could Ebay ask for your SSN,it could also want to see a copy of SSN card,front and back.
Can you open a US bank account?
You would need SSN to open one.
Some said if you go to a physical branch and present your passport,you can open a US bank account,.ut then you have to travel to USA.
Since you said you are dropshipping,why cant you just use your UK account and said location of goods is USA,you pay a listing fee of 20 cents?
Who is your dropshipper?I hope it is not AMZN.

[just another seller]

are you saying that you don't have a ssn and are selling on ebay usa with your friends' ssn without him knowing it? i don't mean to b negative but that's blatant fraud. either get your own SSN or list on ebay usa from your ebay uk account. it's cheaper and simpler. if you need additional listings as in you are planning to list too many items, subscribe to the anchor shop for Free fixed price listings, unlimit4ed listings and that includes all ebay sites