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Australian online auction upstart takes on eBay
An exciting new online auction
website , 2Bid.com.au is taking on the global might of eBay
in a bid to keep a slice of the auction action in Australia.
The site offers all the powerful features of a major online
auction website with two...
Drop Ship Your Way to eBay Profits
One of the most difficult things to do when looking to start an online business is to find that elusive supplier that will supply you, put simply you need a source of real products to sell. Drop shipping is a perfect way to achieve this and lets you...
Ebay Buying Something For Everyone
CLUELESS
Being clueless on what items to buy on E-bay is a phase.
In fact, it's the very first step to online shopping. With every
new day, online shoppers conquer more E-bay buying techniques,
and slowly lift off the novice's launch...
Getting Great Deals on EBay
Learn tips and tricks to finding deals on EBay.
I love getting a deal. I try to smell them out from miles away. I love to frequent garage sales, flea markets, closeouts, and more -- but found that I could much better by simply...
Make Money on Ebay ... Selling Mexican Products for BIG PROFITS
Make Money on Ebay ... Selling Mexican Products for BIG PROFITS
.- By Mexico-Store.com
Would You Like to Resell Mexican Products for Great Profits ?
Would You like to feel what's it like to have excellent profit
margins as a...
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Keeping records of your Ebay business: Part 2
In part one of this ebay article series we introduced you to the
importance of keeping a proper paperwork trail of everything
pertaining to your ebay home business profits. We discussed how
keeping detailed records of every area of your ebay home
business was not only beneficial for tax purposes but at the
same time it is the only way to seriously track and tweak your
ebay home business for long term success.
Also in part one, we then closed the end of the ebay home
business article by explaining the definitions of gross profit
and gross profit margin. These two categories of incoming
profits are important to help you understand what you are
earning and which direction you want those earnings to go in.
Before you get bored again, let me remind you that I know you
would rather be talking about selling and spending all of the
millions you will make with your ebay home business! But trust
me, these dry topics on paperwork, records, and taxes are
exactly what you need to become an expert at in order to create
long term stability with your ebay home business.
Ok, back to business. In today's article we are going to help
you understand your tax responsibilities. If you were like me at
the beginning of my ebay home business, then you probably can
find any reason possible NOT to go through the trouble of
keeping formal bookkeeping records of your ebay business.
Unfortunately for us small business people, the IRS tax law
overrules whatever reason we have to justify not keeping the
books up do date for our ebay home business. The law states that
you must keep very detailed records of your ebay income, your
ebay expenses, your assets, and even your liabilities.
By keeping these ebay home business records accurately recorded,
you will be enabled to properly report on your tax return every
bit of income that comes in from that ebay home business. You
will also then be able to claim any and all write-offs that are
connected to your business.
What are "Write-offs"? They are deductions that you can subtract
when having the tax paperwork completed for your ebay home
business. Let me give you an example:
Let's say that you sell Antique products as your main source of
income for your ebay home business. Each day you get in your car
and drive around town and visit flee markets, swap
meets, and
yard sales to find hot deals on Antiques. You will then turn
around and resell these same Antiques on Ebay for big time
profits. Your tax responsibility here is to keep track of the
exact mileage you used up in your vehicle. This information can
be used as a tax write-off. And of course don't forget to save
your gas receipts for extra tax benefits!
Next I'm going to bring up an ugly word that give many ebay home
business owners the chills. The "audit". If you are unfamiliar
with the term audit or have never experienced getting audited
then allow me to explain it to you.
As much as you may not like their reach of power, the IRS has
the legal right to view all of your ebay home business records
if they should ask. This is not an assumption, it is the truth.
Should this happen, then you will be what is called "audited".
And if you are one of those unlucky ones that are audited then
you had better be prepared with detailed, complete, and truthful
business records. You do not want to have missed important tax
claims or filed inaccurate reports in the past because if an
audit should happen then those negative actions could jeopardize
your ebay home business.
Last but not least, we are going to leave you with understanding
what financial type records that you will need to show to a bank
if you are applying for a loan to help expand and grow your ebay
home business. The first one is called a balance sheet. The
second is called an income statement.
Income Statement: An income statement consists of a list of your
assets, liabilities and what you have invested into your
business. And by the way, any amount of funding that you
"invested" into your ebay home business is called equity.
Income Statement: This statement is simply a list showing all of
the income and all of the expenses of your ebay home business
within a specified period of time. This "specified period of
time" is usually quarterly or yearly, depending on how often you
attend to your taxes.
About the author:
Jason James website 'The Auction Resource Network' reveals his
inside secrets and sources that help him pocket over $10,000 a
month on eBay.
Claim your FREE 'Top 10 eBay Selling Secrets' eBook: www.auctionresourcen
etwork.com
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