Hi there. Great video but I have one question. How do you take into account the money spent to acquire the items that you sell? For example you spend $100 on an item for resale, and then you sell it for $150. Does that $100 come into play in the taxes? Edit: I've just found it in the video
Thank you so much! We are just setting up our store which I've sourced for over the last year and we are really excited to get started. But the taxes and the inventory, that's the tricky part. We will definitely utilize 1-800 taxes and really appreciate your video at this time. Perfect timing! Love all of your videos BTW. Found you just recently.
Holy cow. My wife and I have been looking for something with this information for at least 2 months now. We've even hired a tax specialist and still I had questions. This is incredibly helpful less than two minutes in already. THANK YOU SOOOOOO MUCH for your information and taking the time out to do this. I subscribed and liked and saved this video almost immediately.
Always very helpful Chris! You keep it very simple and easy to understand. Thank you. As my 1st year as a reseller I am clueless to what I need for taxes. Thank you for this info and video.
As Chris stated, please consult an accountant before doing the cash method. Your total paid inventory is not all cogs until sold. It's considered an asset until sold. Your accountant will be able to walk you through making sure everything is correct before submitting to the IRS
I appreciate your tax advise! We often set up our own system but not sure if it’s the best! But you’ve reassured me! 👍 keeping it simple .. keeping a log! 👍
FINALLY, someone who has some common sense and values time! all the other videos I have watched are talking about typing out every single item. THANK YOU!!!!!!!
Simpler in some ways than the video I made. I do like how you only have a few numbers to add. COG might be a little annoying, but still not too bad. Thanks for the info, Chris!
A very useful video with information. I think it’s simple enough to me now that I can continue using turbo tax, like I have been using for last 12 years, however, this year I will be adding small business part to it. Thank you
Thank you for this extremely informative video! I have watched some videos where people track every single item and break down every every single fee, per item they sell. That's why I have limited my eBay listings in the past. When you're a one man band working another job, who has time to devote 2 hours of bookkeeping every week? I knew there had to be an easier way. I'm definitely going to try this approach. Thanks again!
Sorry to bother you, had to ask if this copy of this spreadsheet worked for you, I made a copy but it will not function for me. Thanks for any feedback. Have a great day
Concerned with the COGS - Many of the items I sell I have had for many many years and do not have either receipts or bank statements for. How are these items shown or reported? I sell a lot of clothing that I have purchased years ago and decide to re-sell, but again, do not have receipts or bank statements for. Any suggestions? Thanks
FABULOUS fabulous!! Thank you so much for this very informative video! And just to be clear, you do not log every individual item in your inventory in a spreadsheet? I actually quit doing that a couple of years ago but always wanting to hear others’ best practices. Again, huge thanks Chris!
Hi, I’m new here. Thanks so much for this video. It is helping me simplify things I was doing before. I had a question about the comment near the beginning of the video on how posting eBay links on Instagram or other stuff can be harmful to the algorithm. Can you expound on that some more or do you have another video that talks about that? Thanks. I’m always trying to figure out the secrets to eBay’s algorithm because they sure don’t seem transparent about it…. Still love eBay though.
Very informative, however I think you lost me at 'how to find "Ebay refunds/credits"' number. How exactly do I get that number? Im aware that on my 1099k form, the number was a bit higher, but what do I subtract from it to get that refunds/credits number?
Thank you for the video, very useful and instructive. BTW, can you explain what category do we have to use to enter the ebay and shipping label fees in tax preparer SW like TurboTax?
Couple things. The shipping cost. Are you assuming people do free shipping? Or are you deducting the different of shipping charged vs what you paid. Also, if you're using house for work you can deduct percentage use in bills etc
Hey Chris I do my own taxes for my regular W2 job, but it seems pretty easy and straightforward for ebay too, my only concern is you didn't mention if you paid quarterly taxes and how do you estimate how you much you pay?
If your going to do them yourself, make sure you do plenty of research on your tax deductions so the government doesn't get over on you. Or talk with someone who will put you up on game. You live and learn tho, getting better every year. I'm excited to learn more and more ❤
Great video, I have a question for you, a family member of mine is a packager for a major cosmetic line, she sold us a few items, would there be any trouble with the company they package for if we re sold products in large amounts?
Hi Chris , thanks for your video. For the excel form on line 17, I had a negative amount for the ebay refund /credit. Why this happens? I did check my total sales amount and the exact amount that ebay deposit to me. I can't think anything that ebay credit so much for me ~ about $700 in difference.
Hi Chris, I've been following you methods and record keeping for > 2 years, and I have to say you always have a straightforward way of getting your point across. You've helped us in our reselling business. We've been using your chronological inventory system with the same type of boxes you recommended since you taught it here in youtube (it's awesome to find items so easily and quickly!) I do have a question - about the COGS: If you record all COG that you bought (sold or not sold yet), wouldn't that dramatically affect the bottom row? I am doing the line by line that you showed before so I know exactly how much the COGS amount is for all the items sold (not all of the COG I bought). I also know how much I have left in the inventory. Please clarify. I want to make the process as simple as possible. Thank you fo all that you do.
How did you get this spreadsheet to work for you, I made a copy but thats all it is, the sheet will not do the math, its not working. Would appreciate any info on success you had with it
Hello Chris, Thank you for the excellent video! I have dabbled on eBay every now and again since 2019 so I haven't made a lot of money, maybe $1300 for a given year. I have never received a 1099 for any year. I read somewhere that the implementation of the eBay 1099s wouldn't be until tax year 2023 which led me to believe that I DID NOT have to claim what I made for the years prior. Is this correct? Thanks!
When you're talking about refund/credits, is that referencing solely refunds and credits or does it also include the 'Closing Funds' that will be moved onto the next month's statement? I'm confused by this.
i understand that this is fine pulling taxes like at year end when you have no records otherwise. what do you do for day to day bookkeeping? or you don't do that? i'd hate to wait a whole month to find out that i've lost money, kinda need a pulse more often.
where did u get that number for the total ebay refunds/credits??? i dont see it in my PERFORMAMCE AND SALES...or is there a link that will take me to the total ebay refunds/credits??? also in your video line 30...is the 10,515.00 amout is what will be owed...or is that amount is what will be taxed? if its the later, what percentage of the 10,515.00 will be taken out for state and federal? ive heard between 25% to 30%...is that correct? thanks
I have an old checking account that I don’t use for anything, could I just use that as my business bank account? Is there anything I need to change for it to be “good to go?”
So how would you differ this guide for someone who’s not a reseller but say a collector. And you sell maybe only 50-100 items per year but those are big items $500+ each. Same advice? Can it be simplified for someone like that?
If I sell something I bought years ago and I no longer have a receipt...someone said to use market price.. For example, many years ago I paid for $100 and now the market price is $45 and I sold it for $60 on Ebay. So I have to pay taxes because I made more than the market price? I thought if I sold less than what I originally bought I wouldn't be taxed? Not sure about this.
For very small sales at a consignment shop ($500 per month) , can I do cash accounting? Or do I have to get rid of my inventory before end of each year to avoid that
Number on 1099K line 1a is bigger than the Total Sales (including sales tax). Is it because 1a includes return refund? If so, Schedule C line 1 should be 1099K 1a, and Schedule C line 3 should be Total Sales (including sales tax) from ebay performance page? We calculate the difference and that would be for Sch C line 2? Then tax is considered an expense that we will deduct? Damn confusing, isn't it.
Thank you so much very helpful! So if I do this monthly I just add on to the totals that I got the previous month? Sounds easy peezie. Unless of course I'm wrong. lol
Ebay hub now calculates all fees, shipping labels and refunds. Can I use these amounts to offset the gross amount sent in a 1099K? Also. What is the "Ebay revenue"? Is it what is sent to me as a 1099K gross amount?
Hello guys please help i’m a lil worried cuz i bought an iPhone yesterday and i paid for import charges when i did the checkout for my order so when my package arrived to my country do i need to pay for taxes?? Please help guys🥺
I have another question. If you pay for shipping costs outside of eBay’s payment system, say a credit card through pay pal, then those shipping costs would be accounted for below the “Total Deposits That Hit Your Bank Account” row 20 and not in row 15 “Shipping labels”, correct? Thanks for the help, love all your content, learning so much!
Great videos I'm new I just started selling on ebay last year and I need to setup a speedsheet like this. I do have a question you maybe able to answer. I have an ebay store that I paid a month fee to is that added in to the ebay fee or is there a place on ebay where I can see how much I paid just in ebay store fees? I moved my store subscription up 3 times so I need to see what month I paid. Thanks for any kind of help you can give me.
Hello I have a question I am 16 years old and I got the 1099k irs thing and is asking for my SSN should I put my real one because I don’t want to to delete my account once they know I’m 16?
Great video definitely helps! Where on the sellers hub can you get the exact amount in fees you pay per month and shipping costs Ect. I just calculate it by hand per each transaction which is a lot. Is there a break down on eBay I can get the total number. Yhanks
This really helps. This is my first year making more than $600 on eBay, so I was worried about how much I would owe in taxes. I've been dreading it all year.
If you didn’t set up the bank account… I wish ppl would start there cause many people don’t think about that before starting or they may think eBay was gonna be a few casual sales and it turns into something much more later that year..
