IRS May Ask eBay To Snitch On Sellers

Makarand writes "The IRS thinks that many sellers on online auction sites are unaware of their obligation to declare their profits and pay their taxes to the IRS. Tax experts are now asking the IRS to require online auction sites like eBay, Yahoo, and Ubid to report the gross sales numbers for their sellers. Such a requirement will surely send a shock wave across the online trading world because it could drastically reduce the profits a seller would make on these sites. The IRS thinks it can collect an extra $2 billion in taxes from this requirement that auctioneers report sellers who complete 100 or transactions a year worth at least $5,000."

Comments

I've been done by the IRS

[bmwloco]

I got reamed royally by the IRS for working for 14 months at the South Pole and subsequently taking the overseas tax exempt credit. For twenty years previous, no one had been taxed for working at the Pole. 5 years later I pay nearly $20,000 as two IRS agents looking to make a name for themselves decided to challenge whether or not Antarctica was a "Foreign Country". Raytheon was involved. Tada. A Federal Tax Judge decided for the IRS and Raytheon. It turn, anyone who worked in the first year of Raytheon's contract in Antarctica got hit. Five years later I get a bill. Epilog: I'm no longer a network administrator but now a car salesman, struggling to just get the bills paid as Raytheon ditched a whole generation of folks that worked on ice. The only ones left are suck ups and sycophants. 12 years of my life and memories McMurdo, Palmer Station, The South Pole and working on the RV/IB Nathaniel B. Palmer are now tinged by thoughts of the IRS reaming I took. At least I had a good ride.