(Closed) Question for Etsy Sellers

posted 8 years ago in Career
Post # 3
Member
2829 posts
Sugar bee
  • Wedding: June 2011

US and Canadian governments are really cracking down on ebay/etsy sellers for collecting income tax. Make sure to keep your paypal reciepts.

 

I think the rule is that if you make a sale to someone WITHIN your home state/province you charge the regular rate of tax. You don`t charge someone in NYC CA taxes.

Fees/duties the onus is on the buyer to make sure of customs regulations. Hope that helps. 🙂

Post # 4
Member
242 posts
Helper bee
  • Wedding: April 2011

Like a tax to Etsy?  Yes, but it is almost nothing.  Pretty cheap.

Post # 5
Member
1982 posts
Buzzing bee

Keep in mind that you have to charge sales tax for your state AND if you make over $400, you have to report income made and pay taxes on that I believe.

Post # 6
Member
1251 posts
Bumble bee

I pay a state income tax for my tiny company, but mostly because I do craft shows too, and most craft shows require you to have a tax ID.

Post # 7
Member
2030 posts
Buzzing bee
  • Wedding: December 1969

You have to pay taxes on your etsy business if you earn more than $400 per year. There are also many issues with etsy’s management and lack of concern for sellers that you should be aware of if you are thinking of opening a store there. The blog http://etsybitch.blogspot.com/ does a good job of keeping up with the latest problems. If you do open a store I recommend you follow that blog because often etsy does not distribute info to sellers about how to correct or work around the problems (including search/billing/nonpaying cutomers.etc), and that blog does.

Post # 8
Hostess
18643 posts
Honey Beekeeper
  • Wedding: June 2009

Officially according the the IRS, you are required to report ALL income that you make, not just the amount over $400 (unless that is your only income because you aren’t required to file a tax return if you are under the exemption amount $9,350 for an individual).

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