I would think Not since you dont have a SS# in the USA or an address.Khnud wrote:So technically if you have a garage sale, you need to pay income tax on all items sold there too? Even kids selling their toys to the neighbour's kids?
As a Swede, who is used to very high taxes, this makes little if no sense to me. As you say, it's totally impossible to control. Laws that are completely ungovernable should be either altered or removed, in order to improve the efficiency of the government. My two cents.
Makes me curious though, if I sell +20K on ebay.com will Paypal report me to the IRS even though I'm not an American?
You have to make X total for the year before you pay tax. so No a little kid selling toys does not have to pay tax. BUT a person with a job who is already paying taxes has a garage sale and makes money then YES you are supposed to pay tax on that money. AND you cant have more then X amount on Garage sales a year before they say it is a Business and you get taxed even more. Also in the USA I have to pay Federal Tax and State Tax (Not all states have Tax) but GA does, Once you are declared a Business they add a local County Tax.