Congress cracks down on ebay powersellers

[Gibson486]

Originally posted by: amdskip
So the gov't is going to tax items that are not new and have already had a tax paid on them, awesome! It's like charging tax at a garage sale.

you still have to pay tax on a used car....how is this different?

 

[cubby1223]

Originally posted by: 1prophet
How about if we read the article and see that it is more than just about taxes on ebay powersellers, much more.

Of course we're reading an article written by someone who has a strong bias on the subject to begin with, so he's taking everything to the extreme whether or not it's actually the reality.

 

[BoomerD]

Originally posted by: mugs

Originally posted by: amdskip
So the gov't is going to tax items that are not new and have already had a tax paid on them, awesome! It's like charging tax at a garage sale.

It's tax on income from a business, not sales tax. Buy low, sell high, pay tax.

People who cheat on their taxes are stealing from the rest of us.

Did you guys feel that? There was a shudder in the universe. Mugs and I agree for a change!
He's usually too corporate-friendly for my tastes, but on this, IMO, he's spot-on. If ANY business has to pay taxes, then ALL businesses should have to pay taxes. (obviously not counting the legitimate "non-profit businesses.")

 

[brandonbull]

Sounds like some Congressmen are mad because they don't get their slice of the pie and now that want to force more expense on everyone so they and their friends can profit from electronic accounting services.

 

[nervegrind3r]

the real bottom line "This proposal is estimated to raise $9.802 billion over ten years."

bye bye ebay & payapl, hello craigslist & cash

 

[GuitarDaddy]

Nothing new, the govt is strapped for cash and looking for ways to collect more taxes. Reducing the amount of unreported income is the most effective way of doing that.
What they would love to do is eliminate cash
1. Lock down reporting on electronic transactions
2. Eliminate cash transactions
3. Loop closed, unreported income eliminated
4. Profit

 

[Zenmervolt]

Originally posted by: 1prophet
How about if we read the article and see that it is more than just about taxes on ebay powersellers, much more.

Washington, DC - Hidden deep in Senator Christopher Dodd's 630-page Senate housing legislation is a sweeping provision that affects the privacy and operation of nearly all of America?s small businesses. The provision, which was added by the bill's managers without debate this week, would require the nation's payment systems to track, aggregate, and report information on nearly every electronic transaction to the federal government.

FreedomWorks Chairman Dick Armey commented: "This is a provision with astonishing reach, and it was slipped into the bill just this week. Not only does it affect nearly every credit card transaction in America, such as Visa, MasterCard, Discover, and American Express, but the bill specifically targets payment systems like eBay's PayPal, Amazon, and Google Checkout that are used by many small online businesses. The privacy implications for America's small businesses are breathtaking."

"Privacy groups like the Center for Democracy and Technology and small business organizations like the NFIB sharply criticized this idea when it first appeared earlier this year. What is the federal government's purpose with this kind of detailed data? How will this database be secured, and who will have access? Many small proprietors use their Social Security number as their tax ID. How will their privacy be protected? What compliance costs will this impose on businesses? Why is Sen. Chris Dodd putting this provision in a housing bailout bill? The bill also includes the creation of a new national fingerprint registry for mortgage brokers.

"At a time when concerns about both identity theft and government spying are paramount, Congress wants to create a new honey pot of private data that includes Social Security numbers. This bill reduces privacy across America's payment processing systems and treats every American small business or eBay power seller like a criminal on parole by requiring an unprecedented level of reporting to the federal government. This outrageous idea is another reason to delay the housing bailout legislation so that Senators and the public at large have time to examine its full implications."

And my plan move back to cash-only for personal (i.e. non-business) purchases is suddenly accelerated.

ZV

 

[BabaBooey]

Originally posted by: jpeyton
Big Brother, anyone?

Why does the government want to track all electronic transactions?

Our civil liberties are being eroded daily.

Just another step away from freedom ....can you hear that swirling noise....:disgust:

 

[QueBert]

Originally posted by: CasioTech
shut up everyone.

this is great news. So many powersellers make six figure a year and WE have to cover the tax burden (those who pay taxes anyway.) Why the fuck shouldn't they pay? They make hundreds in profit each day.

prices will go up? No they won't, people will always find the cheapest route whether it's ebay or otherwise. Don't get me wrong, some people have a Tax ID and pay taxes for this stuff, others buy and sell and convert everything to cash, living under the radar and renting from place to place and don't drive cars in large cities.

People sell used things in bulk so what? They make an income reselling and should pay fucking taxes. ESPECIALLY if they have thousands of feedback each month.

I was under the impression that congress cracked down and reported ebayers years ago. haha kinda shitty if they haven't yet.

then people who sell stuff at the swapmeet on the weekends should be taxed? What about people who have weekly garage sales? Most power sellers I've dealt with don't make anywhere close to the $$$ you're talking, and those that do probably put in 15 hours a day or more. I've bought a bunch of $2 dollar shit off ebay, if somebody can make $100,000 a year selling 2 dollar items they deserve to keep every penny because they busted their ass so box up and ship 136 items a day for a year to make $100,000. At least half of the items I've bought came looking it was shipped from a person not a company. Most have had hand written labels even.

Maybe the Government should start taxing 6 year old who run Lemonade stands too. The kids down the block made about 30 bucks today selling it. That would end up being about $800 bucks by the end of the month if they kept up this pace (which they will)

 

[grrl]

Originally posted by: amdskip
So the gov't is going to tax items that are not new and have already had a tax paid on them, awesome! It's like charging tax at a garage sale.

You pay sales tax for used cars, in antique stores, and at Goodwill and the Salvation Army. How is this any different?

 

[alkemyst]

That's genius...get the people to think they are screwing the ebay powersellers....by the time they realize they just screwed themselves too; it will be too late.


WTF! Reporting every electronic transaction you make to the feds? That's fucked up.

 

[Cdubneeddeal]

Damn, this is fucked up. If this holds true, why buy online anymore? This just means you'll only save a few bucks over retail and still have to wait until the package arrives.

 

[SparkyJJO]

Originally posted by: 1prophet
How about if we read the article and see that it is more than just about taxes on ebay powersellers, much more.

Washington, DC - Hidden deep in Senator Christopher Dodd's 630-page Senate housing legislation is a sweeping provision that affects the privacy and operation of nearly all of America?s small businesses. The provision, which was added by the bill's managers without debate this week, would require the nation's payment systems to track, aggregate, and report information on nearly every electronic transaction to the federal government.

FreedomWorks Chairman Dick Armey commented: "This is a provision with astonishing reach, and it was slipped into the bill just this week. Not only does it affect nearly every credit card transaction in America, such as Visa, MasterCard, Discover, and American Express, but the bill specifically targets payment systems like eBay's PayPal, Amazon, and Google Checkout that are used by many small online businesses. The privacy implications for America's small businesses are breathtaking."

"Privacy groups like the Center for Democracy and Technology and small business organizations like the NFIB sharply criticized this idea when it first appeared earlier this year. What is the federal government's purpose with this kind of detailed data? How will this database be secured, and who will have access? Many small proprietors use their Social Security number as their tax ID. How will their privacy be protected? What compliance costs will this impose on businesses? Why is Sen. Chris Dodd putting this provision in a housing bailout bill? The bill also includes the creation of a new national fingerprint registry for mortgage brokers.

"At a time when concerns about both identity theft and government spying are paramount, Congress wants to create a new honey pot of private data that includes Social Security numbers. This bill reduces privacy across America's payment processing systems and treats every American small business or eBay power seller like a criminal on parole by requiring an unprecedented level of reporting to the federal government. This outrageous idea is another reason to delay the housing bailout legislation so that Senators and the public at large have time to examine its full implications."

Ouch ouch ouch. Last thing I want is big brother watching my credit card usage. Sure I'm not a merchant on ebay or amazon or whatever, but still they can get my info through all this.

Our government is really ticking me off :|

 

[TehMac]

Originally posted by: jpeyton
Big Brother, anyone?

Why does the government want to track all electronic transactions?

Our civil liberties are being eroded daily.

Yes, and keep in mind who has the majority in the legislation.

 

[ICRS]

Originally posted by: amdskip
So the gov't is going to tax items that are not new and have already had a tax paid on them, awesome! It's like charging tax at a garage sale.

NO, this is to keep track of the sales for earned income purposes. It is INCOME tax.

 

[TruePaige]

Originally posted by: TehMac

Originally posted by: jpeyton
Big Brother, anyone?

Why does the government want to track all electronic transactions?

Our civil liberties are being eroded daily.

Yes, and keep in mind who has the majority in the legislation.

This is Bi-Partisan civil liberty theft.

 

[CasioTech]

Originally posted by: QueBert

Originally posted by: CasioTech
shut up everyone.

this is great news. So many powersellers make six figure a year and WE have to cover the tax burden (those who pay taxes anyway.) Why the fuck shouldn't they pay? They make hundreds in profit each day.

prices will go up? No they won't, people will always find the cheapest route whether it's ebay or otherwise. Don't get me wrong, some people have a Tax ID and pay taxes for this stuff, others buy and sell and convert everything to cash, living under the radar and renting from place to place and don't drive cars in large cities.

People sell used things in bulk so what? They make an income reselling and should pay fucking taxes. ESPECIALLY if they have thousands of feedback each month.

I was under the impression that congress cracked down and reported ebayers years ago. haha kinda shitty if they haven't yet.

then people who sell stuff at the swapmeet on the weekends should be taxed? What about people who have weekly garage sales? Most power sellers I've dealt with don't make anywhere close to the $$$ you're talking, and those that do probably put in 15 hours a day or more. I've bought a bunch of $2 dollar shit off ebay, if somebody can make $100,000 a year selling 2 dollar items they deserve to keep every penny because they busted their ass so box up and ship 136 items a day for a year to make $100,000. At least half of the items I've bought came looking it was shipped from a person not a company. Most have had hand written labels even.

Maybe the Government should start taxing 6 year old who run Lemonade stands too. The kids down the block made about 30 bucks today selling it. That would end up being about $800 bucks by the end of the month if they kept up this pace (which they will)

Most powersellers make six figure a year if they sell 400-500 (10-15 a day) items a month considering they sell decently priced items profiting an average of $10-20 a piece.

 

[CasioTech]

again I ask, doesn't the IRS see constant flow of money going into your bank account daily from paypal or other payment methods? Doesn't anyone see this activity?

I am under the impression powesellers have to pay taxes (at least on part of their income)

 

[mugs]

Originally posted by: CasioTech
again I ask, doesn't the IRS see constant flow of money going into your bank account daily from paypal or other payment methods? Doesn't anyone see this activity?

I am under the impression powesellers have to pay taxes (at least on part of their income)

Pretty sure banks don't have to report large electronic transactions, just large cash transactions.

 

[CasioTech]

so if one deposits 10000 cash they will flag you but if you get 10000 from paypal its no questions asked?

 

[Eli]

Originally posted by: Jeff7

Hidden deep in Senator Christopher Dodd's 630-page Senate housing legislation is a sweeping provision that affects the privacy and operation of nearly all of America?s small businesses.

630 pages? Good god, who the hell comes up with this stuff, and how do they not kill themselves from sheer boredom or self-loathing?

eBay Powersellers paying taxes like a small business would: Good.
All the other crap about even more monitoring of many transactions: Not so good.

If I want anyone monitoring me, I'll start a Twitter account. Anything else, eyes off.

I was wondering the same thing, but it was more along the lines of how they sleep at night thinking something like this is okay and good for the US.

 

[vi edit]

Originally posted by: Zenmervolt

Originally posted by: 1prophet
How about if we read the article and see that it is more than just about taxes on ebay powersellers, much more.

Washington, DC - Hidden deep in Senator Christopher Dodd's 630-page Senate housing legislation is a sweeping provision that affects the privacy and operation of nearly all of America?s small businesses. The provision, which was added by the bill's managers without debate this week, would require the nation's payment systems to track, aggregate, and report information on nearly every electronic transaction to the federal government.

FreedomWorks Chairman Dick Armey commented: "This is a provision with astonishing reach, and it was slipped into the bill just this week. Not only does it affect nearly every credit card transaction in America, such as Visa, MasterCard, Discover, and American Express, but the bill specifically targets payment systems like eBay's PayPal, Amazon, and Google Checkout that are used by many small online businesses. The privacy implications for America's small businesses are breathtaking."

"Privacy groups like the Center for Democracy and Technology and small business organizations like the NFIB sharply criticized this idea when it first appeared earlier this year. What is the federal government's purpose with this kind of detailed data? How will this database be secured, and who will have access? Many small proprietors use their Social Security number as their tax ID. How will their privacy be protected? What compliance costs will this impose on businesses? Why is Sen. Chris Dodd putting this provision in a housing bailout bill? The bill also includes the creation of a new national fingerprint registry for mortgage brokers.

"At a time when concerns about both identity theft and government spying are paramount, Congress wants to create a new honey pot of private data that includes Social Security numbers. This bill reduces privacy across America's payment processing systems and treats every American small business or eBay power seller like a criminal on parole by requiring an unprecedented level of reporting to the federal government. This outrageous idea is another reason to delay the housing bailout legislation so that Senators and the public at large have time to examine its full implications."

And my plan move back to cash-only for personal (i.e. non-business) purchases is suddenly accelerated.

ZV

I wonder if it's any extension of the national credit card aggregate system that Poindexter was working with under the Information Awareness Policy that started rolling after 9/11.

http://en.wikipedia.org/wiki/I...ation_Awareness_Office

 

[CasioTech]

anyway, they should just make payment systems report transactions from ebay. That is all.


but to all small business owners who have employees, they have to report some earnings, since they pay employees, right? Unless it's cash of course...


one day, cash will be a thing of the past. Enter: creds. one day...

 

[alkemyst]

The main idea behind this is 'online merchants' are taking business from our senators/congressmen's B&M stores. They aren't liking it. They haven't liked it for a long time. A lot of people are all for taxing those that buy online because they don't due to worries of Identity Theft and other BULLSHIT...they then are pissed they can't get as good of deals.

 

[Fritzo]

Originally posted by: CasioTech
also I was wondering, when an ebayer transfers his money from paypal to the bank account, doesn't it automatically go to the IRS or someone?

I mean if you get thousands a day from paypal into your accounts, doesn't anyone notice?

Only if they get audited. The transaction has to be above $10000 to be reported.