Reader suggests options for yard sale tax issues

Oct 16 2013 - 1:49pm

Editor,

I would like to comment on the letter of Oct. 13, "Yard sale tax ridiculous." I feel that the person has three options and I like option three the best. 

Option one and the response I would give to the sales tax people: It is the responsibility of the buyer to pay the sales tax and as such, he is required to put it on his tax return as items bought without sales tax. Because of this, the person having the yard sale may not have a mechanism set up to collect any sales tax, nor did she collect any nor did buyers pay any, and therefore I don't owe you any? So why should we both pay taxes on it?

Option two: Since I had no business license I was working under the person that set up the event and it is their responsibility to collect any sales tax as the buyers leave? 

Option three, and the one I like best since I have to report anything I sale as income on my tax return, I can write off the costs involved. The purchase price, the board and room (storage, temperature controlled environment, etc.), the mileage to and from the sale (delivery including vehicle expenses), meals and any other expenses that I encountered in the sale of this product.

Frank Price

Roy

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