I run a cash business online selling used text books etc, how do I report cash earinings to IRS?

I sell mostly on Ebay and other auction sites, and I make about $20,000.00 per year after all business related bills are paid. Its not alot, but its a decent part time job. How do I turn this into a real business where it will be on the books, and my income can be varified for loans, lines of credit and mortgages.

Simply file a Schedule C with your 1099 — this is the form for sole proprietorships http://www.irs.gov/pub/irs-pdf/f1040sc.pdf

In this form, you will be able to declare your income as well as deduct any expenses you have incurred in running the business — e.g. ebay listing fees, paypal fees, shipping expenses, etc.

Starting A WholeSale Business- Wholesale Products

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