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Level 1
posted Aug 31, 2022 9:18:38 AM

I sell items on consignment, for a fee, on eBay. I don't own the stuff I sell, just charge a fee based on sale price for them. How do I handle the taxes?

0 2 370
2 Replies
Level 1
Aug 31, 2022 9:21:58 AM

The items belong to a non-taxable healthcare foundation, if that helps.

Level 15
Aug 31, 2022 9:27:26 AM

You probably need to talk to a bookkeeper if you don't understand this but in a nutshell...

 

Total gross sales are reported on the Sch C and then the amount you pay out to the owner will be an expense + any fees that ebay charges =  net profit that you pay taxes on the tax return  ... review a Sch C to see how that works.