Everyone seems to have an opinion regarding dealings with Centrelink while selling on ebay.
While there is a distinction between selling your old stuff and commercial merchandise, that will be tricky to substantiate if queried by Centrelink.
In essence, if someone is selling regularly on eBay (or any other venue) Centrelink will not mind providing the seller runs a regular profit & loss reporting scheme (usually monthly).
The OP, who is running a store, should definitely do this.
Benefits will not be limited unless they are turning a significant profit.
The joy of a profit and loss report, run from whatever accounting method is being used to prepare for tax, is that absolutely every business related expense (and some that are at best marginal to business ops) is deducted from income.
A well run small business should be minimising profits at every step and it's really not too hard to do.
In a good month of trading then get the car serviced, buy that new printer, invest in extra stock etc ... in other words reduce your profitability.
You'd be amazed at the costs which you would normally shoulder as living expenses that are in fact perfectly allocatable as business ones.
Broadband and phone(s) (100%)
Car petrol (% of) - use the logbook method and go high.
Car insurance (% of)
Car repairs etc (ditto)
Car Loan repayments (% of)
Car Rego (% of)
Box trailer (100%)
House (% of - based on area in use for business)
Rates or rent (% of - careful if you own as capital gains tax can come into play if you sell).
Insurance (% of structure)
Insurance (% of contents + stock if trading from home)
ebay & payPal fees ( all of them ).
Refunds and returns (100%)
Stock costs (100%)
Bank fees including credit fees.
Accountants fees.
And there are many more.
If you scrutinize your costs (or get an accountant to do it for you) you'll be amazed at the monthly dollars that can be assigned towards reudcing business income.
Centrelink will have no trouble accepting all of this and will not reduce benefits if you are not making a profit over and above the amount you are entitled to earn on a particular benfit (they all have an earnings limit and a scale for reduction of benefits which is seldom dollar for dollar at outset).
A word of warning though - don't fudge the numbers as your tax data should match your Centrelink data at tax time or you may get one of those overpayment claims that have been spoken of lately in the news.
Oh, and if you don't have one, for goodness sake get an ABN which is free anyway.
No need to buy a business name unless you want or need one.
Just go the sole trader route and trade under your own name ie Betty Smith Fabrics et al.
You can even stick your ABN on your eBay listings if you wish to add a bit of credibility.
It will definitely come in handy dealing with suppliers and even Centrelink will view you as being on the up and up.
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