Tax Return

[a_date_with_gym]

I run 3 ebay accounts, one in daughters name one in hubbys and one in mine, yet all ebay payments go into one Paypal Account (in hubbys name).  All withdrawals from Paypal go into my daughters unused Bank account.  Never thought I would sell enough to warrant a tax return but all 3 accounts have.  Legally do I need to lodge 3 tax returns due to 3 ebay accounts or can I lodge as one in my name even though Paypal account & Bank account arent in my name.  Wanting the legal way to do it so tax man doesnt chase me!  Thanks in advance

[joethenuts]

for a start once you buy to sell even $1 its taxable  and must be added to your other taxable income, its no difference than selling in a shop, now with 3 people involved you need to speak to an tax person .

[lyndal1838]

Ouch....this is going to get complicated.

Actually, all your income should have been reported to the ATO although you may not have had to pay any tax at all.

As I understand it, the person responsible for the tax is the person who owns the ebay account, although your daughter may have problems accounting for the money going into her bank account.

I would suggest a visit to an accountant sooner rather than later.

[clarry100]

Yes you are supposed to declare ALL income from the first dollar.

Ebay report to the ATO if total sales for any one account cross a certain threshold (I think it was $10K this tax year).

So if none of your three accounts exceeded that threshold then the ATO won't know about it, but you are still required to report it tho.

The only time you don't have to report is if you can justify hobby selling, but this is very hard to do.

It would be best to have all three accounts registered in the name that has the lowest income (none is better).

That way your tax liability will be minimized.

If any of you have a regular 9-5 type job then all the income will be subject to tax of course. It will simply add onto your 9-5 job's income.

But for the best legal tax strategy you would be well advised to speak to your tax accountant.