by KYW's Amy Feldman

If you were one of the tech savvy people who chose not just to buy on line, but to sell those old toys and too-small baby clothes and made some money this past holiday season by selling on eBay, you may want to know—do I have to report the revenue I get from selling this stuff?

As you can well imagine, the IRS is not likely to say, “Oh you made money on your old junk?  Good for you.  Just enjoy your pocket change.”  Rather, all income—including gambling earnings, profits from illegal activities—remember Al Capone—and small business profits—is taxable.  So you need to figure out if you’re profiting. 

If you’re just looking to clean out your garage, you are likely selling the items for less than you bought them and then would not have made a profit on them (the benefits of spring cleaning notwithstanding).  But if you are buying goods from a wholesaler and reselling, or if you are producing the goods and selling them like a business for more than the cost of manufacturing then you are running a profitable business.  On eBay, one man’s trash may be another man’s treasure.  Remember that to the IRS, any treasure can and will be taxed.