Skip to content
Taxes on Personal Items Sold
- Generally, sell two items in one year, get a seller’s permit. Register on state website, easy.
- Collect tax if business has state presence. Otherwise, don’t.
- Used items sold at a loss owe no taxes. But if sold for more than acquired, pay on the profit.
- Earn $600+ from sales? File a return in 2023 for more 1099-K forms.
- Report online sales.
- Special organizations and foreign companies sell without value added tax.
- Sell used personal items for less than original cost, no income tax. Sell for more, pay capital gains taxes on surplus.
Tax Obligations for Online Sales
- Retail or service owners report in business income.
- Online sellers in states without internet sales tax: Alaska, Delaware.
- 2021 single standard deduction, under 65 is $12,550. No filing under that income.
Reporting Requirements for eBay and Other Platforms
- $20,000 and 200 sales on eBay and others to get a form. Auction income may include income tax.