Warning about buying items “listed for Sale” by Members.

[EdTice]

If you're in the US it may also cost you an IRS donation in 2022 and onward as PP and Venmo will send a 1099-K for goods and services sales totaling more than $600. I just sold some gear totaling 1k so sounds like I'm getting the form. There may be a way to mark it as non-income on the tax return not sure, but otherwise make sure to keep your purchase records so you don't get taxed extra on your hobby when you sell your stuff, usually at a loss.

yeah I've had sellers not want to accept PayPal goods and services for that reason. You can avoid the income tax because well, there's no income, its a sale at a loss. But you may owe state sales tax which is a different question. Selling a used item is not taxable income, especially if it is at a loss. But it might still be subject to sales tax. The fact that PayPal reports it doesn't mean its taxable but it does mean you might have to add a line for cost of good sold when you file.

 

[Chromatischism]

If you're in the US it may also cost you an IRS donation in 2022 and onward as PP and Venmo will send a 1099-K for goods and services sales totaling more than $600. I just sold some gear totaling 1k so sounds like I'm getting the form. There may be a way to mark it as non-income on the tax return not sure, but otherwise make sure to keep your purchase records so you don't get taxed extra on your hobby when you sell your stuff, usually at a loss.

Well if I sell an asset at a lower value, I'm calling that a loss.

 

[gvl]

Well if I sell an asset at a lower value, I'm calling that a loss.

Right, just make sure to hold on to the purchase receipt in case IRS knocks on the door.

 

[TheBatsEar]

Too bad there is not some sort of a clearing house for sales of member items. The seller ships the item to clearing house and the payer sends the remittance to the same place. If the two are as advertised, they are both forwarded. There'd be a fee for the service. It would not be perfect, since a broken amplifier looks the same as it would not broken, but at least obvious scams could be thwarted, hopefully. If a scam is caught, the scammer faces legal action.

There is something like that in Germany, called "Ebay Kleinanzeigen", not to be confused with "Ebay Auctions". It's targeted at private people selling in their area, like classifieds. Usually you just buy cash when you collect the item personally.

They offer a service that costs about 5 percent. You send the money to them, they tell the seller to send the item to the buyer. The buyer/seller have a few days, after the package is received, to get things sorted if something is up, otherwise the seller gets the money.

I just used it with a guy selling a pair of Sennheiser HD650 for 180€, but not in my area. Seems to be working fine so far.

Just in case someone prefers that kind of escrow.

 

[pseudoid]

You can pay for things with PayPal goods and services.

Yes, I also had good success using PayPal for transfer of funds... but [there is always that 'but'!] the payor sends $$ (via PayPal AND in good 'trust') before receiving the goods.
I am thinking that it would be best to have a stipulation (4Sale @ ASR) where the seller states the buyer to be an ASR with xxx posts and at least 3:1 posts/likes ratio.
Would that provide some additional anti-scam protection?
I ask because I am about to post a WXC-50 FS.

 

[AdamG]

Yes, I also had good success using PayPal for transfer of funds... but [there is always that 'but'!] the payor sends $$ (via PayPal AND in good 'trust') before receiving the goods.
I am thinking that it would be best to have a stipulation (4Sale @ ASR) where the seller states the buyer to be an ASR with xxx posts and at least 3:1 posts/likes ratio.
Would that provide some additional anti-scam protection?
I ask because I am about to post a WXC-50 FS.

These are our Rules:

You must be a Member with a minimum of 30 posts and 3 months of Membership. Before you can place any for sale post in this Forum. Thank you for your cooperation and understanding.

- Your ad must have a requested price and you can say you will entertain reasonable offers.
- Include where you are willing to ship and who pays for shipping can be worked out between Seller and buyer.

Note: Min requirement waived for Forum Donor Status Members.

 

[NiagaraPete]

Canada s of July 1 is charging HST on all sales. Facebook marketplace is still tax free.

 

[Indy]

Canada s of July 1 is charging HST on all sales. Facebook marketplace is still tax free.

I have to wonder how long before Facebook marketplace is taxed.

 

[Chromatischism]

I have to wonder how long before Facebook marketplace is taxed.

Many items are sold with local pickup. So just mark the item sold.