11-13-2011, 02:08 PM
supposed you buy and re-sell some items on eBay, Amazon and maybe even CL.
Also suppose you want to report this extra income fairly on your tax return.
What do you report, amount of SALES or the PROFIT? Also, into what category?
more specific: If you were to buy item "X" for let's say $100 and sold it for $200 on amazon, but after Amazon's fees you received $160, and after shipping cost, packaging materials, etc you have about $40 profit, what amount do you report on 1040? suppose you keep all receipts and can prove the cost of the item, shipping costs, etc.
There is no corporation, etc.
Thanks
Also suppose you want to report this extra income fairly on your tax return.
What do you report, amount of SALES or the PROFIT? Also, into what category?
more specific: If you were to buy item "X" for let's say $100 and sold it for $200 on amazon, but after Amazon's fees you received $160, and after shipping cost, packaging materials, etc you have about $40 profit, what amount do you report on 1040? suppose you keep all receipts and can prove the cost of the item, shipping costs, etc.
There is no corporation, etc.
Thanks