Went to get my taxes done today and found out that if you sell $5000 over the Internet you will get a 1099 form in the mail and will have to pay taxes on it. And I started thinking that is probably why when you sell on eBay now you have to use paypal so the government can keep track of your internet sales. I guess when I start to get close to $5,000 will have to take checks in the mail or cash. I don't want to pay tax on selling bikes for a hobby.
Paying taxes on internet sales
- Thread starter npence
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. I guess when I start to get close to $5,000 will have to take checks in the mail or cash. I don't want to pay tax on selling bikes for a hobby.
If you are making $5,000 or more then I would consider that a nice little side business.
Pay my taxes on it and also take all those lovely tax deductions for:
-The space I use as a shop and office
-tools bought to do the job
-milage to get the bikes and parts
-etc etc
If you are making $5,000 or more then I would consider that a nice little side business.
Pay my taxes on it and also take all those lovely tax deductions for:
-The space I use as a shop and office
-tools bought to do the job
-milage to get the bikes and parts
-etc etc
Im not in this hobby to make money I'm in the hobby to find awesome bikes and ride them. Every dime I make selling a bike I put back into the hobby by fixing one up or finding another bike. So I'm never going to pay tax on something that I'm re investing back into it. So I wonder if I can write off the value of all my bikes as inventory since they see it as a business.
