If you sell on Ebay do you claim it on your taxes?
January 30, 2012 9:18am CST
If you do, how do you do it?
• United States
5 Feb 12
I have a three ring binder that I keep track of all my sold items. How do I do it you may ask. Well I print off the eBay invoice then I go on down to the post office and send off the item, then I keep the sale receipt and delivery conformation receipt. When I get home I staple them all together and three hole punch it and in the notebook it goes. Then I just wait until it's about tax season then I add up all the expenses and profits. Then proceed to fill out tax forms like you normally would.
30 Jan 12
My eBay sales are all done through my limited company. The for-profit ones anyway, Personal sales I do through the same eBay account, to help add value to it, but I use my personal PayPal account rather than my business one. If you're buying stuff to sell on eBay at a profit you need to keep track of all costs - stock, postage, packaging, eBay fees and PayPal fees and total sales. I find it easier just to record all the expenses and let the accountant do the actual tax calculation.