Members who have done RAOKs
Okay so I saw that a fellow member is having some difficulty it it got me thinking, so I decided to start this thread to seek some answers.
When I did a RAOK I did not report it for tax purposes because I thought if you made no profit it was fine. This could very well be the wrong thing to do which is why I'm asking, at the time this is just what came up through research because it was considered an online garage sale transaction.
So what do you guys do when offering a RAOK (buyer just pays shipping & handling)? Do you make the buyer pay as a gift (this is what members have asked of me) or goods & services?
If you do have to report it, do you report it on a special section/form to show that no profit was made so that you don't get taxed?