Question by BreadCollision: eBay: Should I charge sales tax?
I want to unload a bunch of things on eBay – is the IRS going to come after me if I don’t charge sales tax? What are the rules regarding sales tax? I don’t want to become an eBay “business” – I just want to have the equivalent of an Internet “garage sale”. However, I want to follow the rules, and if the rules insist that I charge sales tax even tho I’m an informal seller, I will. My top two objectives are 1) follow the rules and 2) stay out of jail ………..LOL!

Best answer:

Answer by Kellie M
You only have to pay taxes if you make more than 0 and even then you only charge sales tax to buyers living in your state. Hope that answers your question. 🙂
Good luck and happy Ebaying!

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3 thoughts on “Q&A: eBay: Should I charge sales tax?”

  1. No you do not have to charge sales tax. Even if the winning bidder is in your state you do not have to charge tax. The IRS is not going to come after you.

  2. The IRS won’t care, but the Illinois Department of Revenue might. If you don’t sell to anyone in Illinois, you should have no problems. In that case, it would be the purchaser’s obligation to pay their state’s sales and/or use taxes if appropriate.

    However, if you sell to anyone in Illinois, you would likely have to charge them sales tax and pay it. Many states have a small/incidental sale exemption, but I couldn’t find one for Illinois.

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