...eBay says,
"We're just a platform that connects buyers and sellers. That's all we do." said eBay spokeswoman Kimberly Rubey.
That comes from a recent Denver Post article on eBay and taxes.*
Excuse me is this 2001? I haven't heard that line in a long time. It's certainly not the tough talk dished out to sellers of late.
"You're supposed to report any profit from those sales," said IRS spokeswoman Jean Carl. "It's a voluntary system for taxpayers to report it, and people are trusted to do that."
What would you do if the IRS was watching? eBay shrugs and says in a kid-like innocent tone, "We're just a marketplace." To sellers though, eBay decides where you show in search results, what kind of comments you can leave, what you put in your description, and how you pay and get paid. Sounds like more than just "connecting" buyers and sellers.
Sorry eBay, the days of "we're just a platform" are long gone. It's offensive to thinking people.
What could the IRS do?
I'm no tax guy. But consider possibilities. If the IRS thinks eBay is more involved in transactions than just "connecting buyers and sellers," might they want just a little more from them? After all, eBay is the central point for all these transactions? Can you imagine the expense eBay would incur if they had to add the "tax" element to their platform?
Imagine a seller that wanted to sell their old clothes or books. What would they do if upon registration, they were faced with adding more personal information? If casual sellers, who normally fill out the short tax form, are faced with something that may complicate or add to their taxes, they will break out the Yard Sale signs instead.
I believe the IRS is going to find a way to do this. It may not be tidy, in fact I think it will kill a lot of business, but it's coming. If people think it's hard to deal with eBay or PayPal - how 'bout arguing with the IRS over the sale of grandma's spoon collection.
Sellers are already upset at eBay for changes this year. If the IRS becomes baked into the process, sellers will just leave instead of sharing more private information.
If you would like to find the best tax related books for eBay sellers visit my store here.
Do you think the IRS will continue to "trust" eBay sellers?
Source for quote: http://www.denverpost.com/business/ci_9508677
Popularity: 18% [?]
2 comments ↓
I don’t think the IRS trusts eBay sellers any more than anyone else. My mom has a part-time business on eBay and was recently audited.
eBay won’t be the only one the IRS will expect more from; all internet selling platforms will be under the scrutinizing eyes of big brother, if they aren’t already.
Best get your records in shape now rather than later!
WHEN OBAMA BECOMES PRESIDENT,EBAY ALONG WITH THE INTERNET WILL BECOME THE CASH COW WITH TAXES .IT WON’T BE LONG. LET ME SAY ITS WRONG WHAT THE DEMOCRATS DO TO THEIR CITIZENS AND TREASIONIST!!!!!!!
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