In the US, eBay and PayPal are going to start reporting to the IRS in January of 2012 for 2011 sales. To be reported in the states, you have to have *both* more than 200 sales and 20k in total sales - so you could sell 199 items for 20k+, or 200+ items for under 20k, and not get reported.
Lots of people are up in arms about this, saying how it's not fair etc. What's not fair is the guys selling that quantity of stuff and not reporting, while those of us who sell legitimately and claim the income get taxed!
They also mistakenly think they will be taxed on 20k if they sell 20k. Should realize that 20k sales is not 20k profit. But, I could complain about that all day long and it wouldn't make a difference :)
at the end of the day its all about the taxes..... we all want to pay as less as we can
but these that don't report will get caught in the end ,
the amusement industry here , is well known for so much cash and the GST police keep a very close eye on this
we have been investigated , only last year and all was fine but I am sure there are others that don't report anything at all
they do match up paperwork i can tell you that , keep your container records and ebay sales and site sales
dont forget customs and the tax office match up import records to your sales records to work out profit
so keep all your paperwork
we have every transaction from our web sites and ebay sales recorded
mark
