why do I have to report the things I sold on eBay on my tax return?

Because you might have earned money by selling them. If you buy a knife for $15 and sell it on ebay for $25 with $5 in ebay and paypal fees, then you have made a profit of $5. This profit is taxable income whether you think you are a businessman or not.

You will need to figure out the costs you have in what you sold if you have not kept good records. The IRS warns you to pay your taxes no matter what. So even if someone stole the things that were later sold, the IRS expects the thief to report their profits.

Whether you do get the 1099 form from THEM are IF you do NOT get the 1099 form from them you would still be required to use your good daily written receipt books and records in order to correctly complete your 1040 income tax return during the 2013 tax filing season.

Self employed independent contractor schedule C or CEZ along with the SE to determine your NET PROFIT or LOSS from your business income during the tax year for this purpose.

SE your social security medicare tax amounts that you would OWE on your NET profit amount that would end up the page 1 line 12 from the schedule C and any SE tax owed page 2 line 56 and page 1 line 27 Deductible part of self employment tax attach schedule SE line 27 $$$ amount.

Starting, Operating, or Closing a Business

Starting a Business

Starting a business could be exciting. If you're considering starting a business, start here. This section provides information on everything from a checklist for a new business, to selecting a business structure, and more.

http://www.irs.gov/Businesses/Small-Businesses-&-S...

http://www.irs.gov/Businesses/Small-Businesses-&-S...

Publication 583, Starting a Business and Keeping Records

http://www.irs.gov/pub/irs-pdf/p583.pdf

Hope that you find the above enclosed information useful. 01/24/2013

I'm going off heresay right now but if I remember correctly you only have to pay taxes on earnings if you deliberately sold things to make money. For example, if you purchased the knife for fifteen and sold for 25, than yes, you have to pay taxes. However, if you found the knife laying around your house and sold it, than no, no taxes. I also believe there is a limit. Such as, if you made $599 on ebay, no taxes. $601 and your paying taxes on it.

Long story short, check somewhere you can be sure of before you give up your money.

Any form of income have tax deductions: the government doesn't want you earning money without a share!

why do you need a tax id if your not in business??????????????

thats fine if you sell it for less than you paid for it you can deduct that

as well. It will depend on you tax bracket and if you itemize or not

You have to report ALL earnings to tax....