Re: Article about eBay

From: Sandi (sanditypes_at_yahoo.com)
Date: 03/29/05 

Date: Mon, 28 Mar 2005 20:07:53 -0500

> I always claim my eBay income and I charge state tax to Virginia buyers. I
> also deduct miles to the post office, resale item purchases, etc. A
> business license is cheap and easy to get, and why not do it legally if
you
> can keep yourself out of hot water? State tax ID is free, in Virginia, and
> the only time you need to use it is when you sell to people in your state.
> It also allows you to qualify for many wholesale opportunities.
>
> It's all in the cost of doing business and nothing new.
>
> --
> ~~~~~~~~~~~~~~~~~~~
> Donna
>
Donna, how do you determine what your cost of goods sold was? Do you buy
and sell, or how do you acquire your items? I just wondered whether the IRS
is expecting people to claim the entire amount they sell for as income, when
really it's just the difference between what you gave for it and what you
sold it for (which in the case of those cleaning out closets would seem very
difficult).

Sandi