Auction Power Guide

Someone told me if i were to buy silver bullion and wanted to sell it back i would have to mark up the price and the buyer would buy at a discount but i dont quite understand this. can someone explain it to me?
im basically trying to find out how much money i would lose if i were selling silver back
and would i also get taxed if i ever sold my silver for a profit?

It depends upon where and with who you buy and sell from. Standard precious metal dealers will typically charge a bit of a premium on their bullion (a price above market rate), plus shipping and handling fees. If there is a metals auction in your area, you can buy at auction, though sales tax could apply there. You can also buy and sell silver bullion on eBay – but you will need to watch your bids as they can easily get well above market price, and shipping charges may apply.

If you sell your silver back to a dealer, they will want to buy it back from you at a discount to the market price – they are after all in the business to make money. You can attempt to sell it directly to investors at a local auction (though commission charges will apply) or through eBay (again, commission will apply). It really depends who you sell it to. Dealers and scrappers will want a discount from the spot rate, investors will pay closer to the actual spot rate.

Profit or loss will depend upon the spot rate at the time of purchase and sell. If silver has gone up enough to more than cover the premium, initial sales tax paid, shipping costs, then you will make a profit. If the spot rate has declined or not increased enough to cover your other costs, then you will have a loss.

Just like buying and selling any other product, you will have to pay taxes on your gains. Speak to your tax professional for the correct tax treatment of your gains from silver.

I just bought a car on ebay for $15,000. The car is located in California and I live in Washington State.

The dealer wants me to pay the sales tax of California which is 9%?

I bought a car in California about a year ago, and all I did was fly down there, drive it back up to Washington, and payed all the taxes, and fees here in Washington.

Is there some type of new law that says I have to pay the sales tax in California? How would here be proof that I already paid the taxes and would have to pay taxes again back in Washington.

This is some bogus lie that this dealer is saying to try to rip me off?
Edit Typo: How would there be proof……

If you are picking up the car in California, the dealer is required to collect CA sales tax, even if you are registering it out of the state. The only way to avoid it is to have the dealer deliver the car outside the state. When you register the car in WA, you can probably get a credit for tax paid to another state.(that’s the way it is in CA)

Hello. Please, I would not appreciate any response that suggests "I should have known better".

I sold my car to a person in another state via eBay. The buyer paid their deposit by eCheck to PayPal, and because of timing and availability, I delivered the car to him and received the balance of the purchase price in cash. Once the vehicle was delivered, and the sale "completed", the buyer’s bank declined payment of the eCheck. The buyer did sign a Bill of Sale that indicated the transaction would be complete upon clearing of the check and balance paid.

Back when I was in school, I vaguely remember that lawsuits across state lines had to go through federal court, does that apply for small claims?
a) If I can file in a state court, which state would hold jurisdiction, the seller’s state or the buyer’s state?
b) I realize in a small claims suit, I can file for actual damages and court costs, can I file for punitive damages?

Thank you for your advice!
The seller is in New Jersey, the buyer in New York. The buyer won the auction on eBay. Total purchase was under $2000, the amount in dispute is $200. Buyer signed a Bill of Sale Agreement acknowledging sale would be complete once payment was made and deposit check cleared.
The seller is in New Jersey, the buyer in New York. The buyer won the auction on eBay. Total purchase was under $2000, the amount in dispute is $200. Buyer signed a Bill of Sale Agreement acknowledging sale would be complete once payment was made and deposit check cleared.

Here we go again, can we get some locations? =p

The jurisdiction will always be where the sale accorded or where the seller is located, unless the buyer is in default.

Here’s an example. Suppose you purchased an item from an online store.

If the buyer is in the same State as the seller, then the buyer has to pay the sales tax. However, if the buyer is in another State, then no sales tax can be collected by the seller or the State; unless of course a mutual agreement which will never exist because double taxation laws. =D

Here’s the answer:
Personal Jurisdiction: Court must have binding jurisdiction over the defendant. Usually means a legal resident over the defendant’s court jurisdiction.

Quasi in rem Jurisdiction is usually by absence and not for you particular matter.

Subject-matter jurisdiction: Yes and no. This jurisdiction is pretty much the courts power on which particular cases the State or Federal government grants to the court. In California, this case would be heard in small claims court because the bill non payment does not exceeds $7,500.

Even if it did exceeded $7,500, the defendant would be only obligated to pay with only a written contract for the payment since the sale was over $500. If I recall correctly, this is called the Statute of Fraud. Oral agreements are not enforceable if the contract falls under the Statute of Fraud if the contract is obligated to do so. Other things for SoF is like marriage, land sales and I think sureties and services require written contracts. Though, good attorneys can "flip the script" just like how Pamela Anderson 1 million over an oral agreemnt…though I do not remember the case thoroughly.

So the ANSWER to your question is this: You must sue the defendant in his/her legal residential court jurisdiction unless he/she in another country and can do a quasi in rem. =D

Things you should do.
You really do not need a contract because Ebay is like one. The guy bid, won and received the goods, therefore obligated to pay the remaining balance.

What you should do repose the vehicle if you want the car and not the money, or sue him if you want the remaining balance and not the car.

Now, the seller is only in violation under 2 entities: The State laws and Federal laws. Notice I spelled State, no plural form. This is based off the Sellers location if the seller commits a breach of contract. =p

One more thing
Federal courts only enforce Federal laws, not State laws.
States courts can only enforce State Laws unless the Federal government grants the State the power to enforce over a Federal violation.
FOR ANY issues arising across parties from different States, the Federal government will only enforce crimes not civil matters since that’s completely covered in the US Constitution under "States reserved Powers" clause.

That’s why the Federal government can prosecute you for a crime or tort, and the State can also, because of this clause establishing 2 different jurisdictions and therefore no double jeopardy.

I recently agreed to purchase a piece of Machinery from someone in California. The company I’m purchasing from does not have nexus in Washington state where I live.

They asked if I would have the machine shipped or be picking it up myself. When I offered to drive down and pick it up they sent me an invoice requesting I pay 9.25% sales tax.

This does not sound legal to me.
I understand the Walmart analogy. Does that hold true if I pay for something in advance? In essence, acting as my own shipping company by going down to pick it up.

It doesn’t matter if the company has nexus in Washington. You are paying California sales tax because possession and title to the product passed in California. It doesn’t matter when you paid for it and it doesn’t matter if you are removing it from the state.
If the company had shipped the product, title and possession would pass when you receive the product in Washington, which would make it exempt from CA tax.
Either way, you would still be liable for Washington use tax.

This will be my first year filing a Schedule C for an eBay business and was wondering if a high revenue/low profit margin situation is a red flag. For example, my cost of goods was roughly $443,000 and my sales were $404,000 with approx $76,000 remaining in inventory. My gross income is approx $37,000 and after deductions, I am down to $25,000. I know its not an exact science, but would the fact that my net income comes to approximately 6% of my total sales make me a prime audit candidate?

Thanks

the things that attract an audit are unusually high specific expenses in relation to the rest of your expenses and in comparison with industry standards

With the upsurge of modern technology and internet these days, eBay shopping is a common feature across the globe.

With the buyers located at one end of the world and the seller located miles away, these sorts of deals have indeed exploded the consumer markets far beyond our imagination. Also entering in this business would help you make direct links with the buyers with in your country or state.

For more information on ebay store sales tax click here