topic Re: Centelink reporting. is it better to buy things to sell or just sell what you have around the ho in Selling

Centelink reporting. is it better to buy things to sell or just sell what you have around the house?

lizzy6107 — Mon, 13 Feb 2017 07:10:12 GMT

Hi Guys

i am unable to work at the moment due to illness and have applied for some government assistance while I get better. I have been selling a few things here and there on ebay, and was hoping to keep this up while recuperating. Is anyone recieving centrelink benefits, and should I buy things to sell, or just sell stuff around the house.. is one better than the other when it comes to declaring income? can I do both? I haven't had to report yet, but want to understand before I do!

thanks in advance

Eliza

Re: Centelink reporting. is it better to buy things to sell or just sell what you have around the ho

lyndal1838 — Mon, 13 Feb 2017 07:22:22 GMT

Do NOT buy things to sell....that automatically puts you on a business basis and is declared as income for which you could be penalised.

There is nothing to stop you selling your own possessions and you should not be penalised by loss of benefits.

Re: Centelink reporting. is it better to buy things to sell or just sell what you have around the ho

imastawka — Mon, 13 Feb 2017 07:26:10 GMT

If you sell things from around the house, that's considered a hobby, and doesn't

need reporting.

But the minute you buy to re-sell, then that's a business, and must be reported

to Centrelink.

So, sell lots of things that you find around the house for now.

Edit: How can you say 'selling a few things' when you have a store with over

2,000 items for sale???

Re: Centelink reporting. is it better to buy things to sell or just sell what you have around the ho

lizzy6107 — Mon, 13 Feb 2017 07:24:47 GMT

thank you.

Re: Centelink reporting. is it better to buy things to sell or just sell what you have around the ho

lyndal1838 — Mon, 13 Feb 2017 07:34:09 GMT

That'll teach me to look at what the OP is selling.

There is no way she will get away with saying it is hobby selling with a store selling so many different sized clothing items.

Far better to declare it honestly than to risk the severe penalties that may be imposed for wrong reporting.

Re: Centelink reporting. is it better to buy things to sell or just sell what you have around the ho

imastawka — Mon, 13 Feb 2017 07:58:02 GMT

Yeah. I answered before I looked too.

That's def a business that needs to be reported to Centrelink IMO

Re: Centelink reporting. is it better to buy things to sell or just sell what you have around the ho

davewil1964 — Mon, 13 Feb 2017 08:53:36 GMT

I looked. It's a bit hard to rack up 6000+ feedback just selling personal possessions. I managed about 50 before I started buying for resale.

Unless they buy stuff, take it out of the packaging, claim it was for personal use, take the loss on a used rather than new item...

Re: Centelink reporting. is it better to buy things to sell or just sell what you have around the ho

clarry100 — Mon, 13 Feb 2017 09:54:39 GMT

Keep in mind that if you have over $10,000 in sales in a tax year that Ebay are obliged to report your sales to the ATO. The ATO will then expect to see your sales income declared.

Of course the ATO and CentreLink talk freely with each other so its only a matter of time before you get a please explain letter from both of them.

Tax Avoidance and making false CentreLink claims are both serious offences. So you need to think very carefully about what you are doing here.

Re: Centelink reporting. is it better to buy things to sell or just sell what you have around the ho

Anonymous — Mon, 13 Feb 2017 10:44:32 GMT

Key questions to consider:

Is the activity being undertaken for commercial reasons?

Is your main intention, purpose or prospect to make a profit?

Do you regularly and repeatedly undertake your activity?

Is your activity planned, organised and carried out in a businesslike manner?

If you answer yesy to any of the above then you are running a business.

I guess if you are making too much selling items around the home you can

easily argue ( from a business standpoint ) that all the items were sold at a loss.

It might get sticky though if you can't provide original proof of purchase.

Re: Centelink reporting. is it better to buy things to sell or just sell what you have around the ho

Anonymous — Mon, 13 Feb 2017 10:50:28 GMT

If you are dealing with Centrelink then there are income thresholds involved

which can affect the level of government benefit.

Best see an accountant or tax agent or you might just get a nasty surprise and

end up owing Centrelink.

Re: Centelink reporting. is it better to buy things to sell or just sell what you have around the ho

davewil1964 — Mon, 13 Feb 2017 11:08:39 GMT

@Anonymous wrote:
If you are dealing with Centrelink then there are income thresholds involved
which can affect the level of government benefit.
Best see an accountant or tax agent or you might just get a nasty surprise and
end up owing Centrelink.

Who will sic robocop onto them. Even if they don't owe a debt, as Centrelink has decided to divide income by 26 to work out whether somebody was entitled to benefits. Notwithstanding the fact that that is not how the social security system works.

Not that you can blame them - they have to fund their giveaways to the big end of town somehow.

Re: Centelink reporting. is it better to buy things to sell or just sell what you have around the ho

Anonymous — Mon, 13 Feb 2017 11:25:32 GMT

To me, government in general is composed of oxygen thieves.

This is not to say, unfortunately, that they are ignorant of the income

that OP derives if it is transferred electronically.

I believe she should declare any 'profit' to big brother.

We could once visit graveyards and apply for 20 separate government benefits.

Not any more. Data matching has put pay to that.

On the ebay level OP will come unstuck once her name and address are reported.

Not a problem if she uses a dodgy name and address but if her linked

PayPal account is data mined...

I miss the good old days of B & M when you could stuff cash into your back pocket.

I haven't played it straight for the last 10 years through choice. ALL my income is now

electronic and traceable...lol

Re: Centelink reporting. is it better to buy things to sell or just sell what you have around the ho

daydreams_12 — Mon, 13 Feb 2017 20:48:30 GMT

You jest surely!

Re: Centelink reporting. is it better to buy things to sell or just sell what you have around the ho

sydneybristowwine — Mon, 13 Feb 2017 22:16:37 GMT

Hello! You have to report to centrelink if you sell above $10,000 per annum. If items are used, second hand, nothing to be concerned about.

Just keep an eye on how much you seel per month and if it is below 10,000 per annum, then don't stress, especially if the items are second hand, used.

Hope this helps

Kind regards

Re: Centelink reporting. is it better to buy things to sell or just sell what you have around the ho

davewil1964 — Mon, 13 Feb 2017 22:23:12 GMT

Wrong. That is the threshold at which eBay automatically report to the Tax Office.

All income must be reported to Centrelink. All taxable income must be reported to the ATO.

Please don't post erroneous information like this. Some people might take your advice and end up in all sorts of trouble.

Re: Centelink reporting. is it better to buy things to sell or just sell what you have around the ho

lizzy6107 — Mon, 13 Feb 2017 23:15:01 GMT

I have been selling for 15 years and I sell for family and friends. The stuff in my store has been going round in relisting circles for years. I have been lucky to sell a handful of items each week for years, I need to work out if I am better off just sitting on this stuff, or putting in the effort to buy things people want!

Re: Centelink reporting. is it better to buy things to sell or just sell what you have around the ho

collect247 — Tue, 14 Feb 2017 00:34:29 GMT

So far you have sold nearly $400 worth of items just this month and last month you sold around $600 so if you intend on going onto benefits then you will need to declare every $ earned on ebay so centerlink can determine what and if to pay you any benefits you're entitled to.

Re: Centelink reporting. is it better to buy things to sell or just sell what you have around the ho

sydneybristowwine — Tue, 14 Feb 2017 10:31:58 GMT

I contacted Centrelink about this....if it is second hand goods, like a used pram for instance, used personal items, not new or bought to sell items... and below the threshold of $10,000 per annum, you don't need to report.

This is what I was told on the phone.

Please don't make assumptions on what I post, thank you.

Re: Centelink reporting. is it better to buy things to sell or just sell what you have around the ho

lyndal1838 — Tue, 14 Feb 2017 11:02:12 GMT

I think you have misunderstood what you were told.

You have to report all income to Centrelink even if it does not have any effect on your entitlements.

I agree with Dave on this one.

Re: Centelink reporting. is it better to buy things to sell or just sell what you have around the ho

imastawka — Mon, 24 Apr 2017 03:32:21 GMT

@sydneybristowwine wrote:

Hello! You have to report to centrelink if you sell above $10,000 per annum. If items are used, second hand, nothing to be concerned about.

Just keep an eye on how much you seel per month and if it is below 10,000 per annum, then don't stress, especially if the items are second hand, used.

Hope this helps

Kind regards

Where in this post do you state that the items are personal property being sold?

It's already been stated that items from around the house don't need to be

reported to Centrelink.

Please don't make assumptions on what I post, thank you.