And this tax is tracked how online? On ebay, for example, is ebay required to collect this tax? or the seller? or does the buyer just record all their purchases and pay up at the end of the year? I'm all for a national sales tax, but it still requires tracking of individuals.
It's not a sales tax, but an income tax. ebay and cl would just be required to report the earnings via 1099, just like your bank does with the interest you earn. It's up to you to pay the IRS.
If you fail to report it, and the amounts are large enough, the IRS will let you know. Even if the amounts are small, the IRS will subtract what you owe from you next refund or send a bill, or both.
Nothing to see here folks, this is how it works. $20,000 is a pretty generous limit. "Regular" businesses are on the hook for profits from dollar one. Ask anyone who's
Ask anyone who's won more than a grand or two at a casino. They often ask for your info before paying out from slots, and in some cases before cashing out chips.