E-Bay will be reporting all sales to the IRS starting in 2022. All sales will likely be considered “profit” and therefore taxable as income. It’s up to the seller to show expenses, etc. My wife is an active E-Bayer, and has several thousands of dollars of sales each year. Much of her sales are stuff she bought several years ago and no longer wants (It’s called “Down-sizing.”) She can download an Excel spread sheet from E-Bay listing all her sales. I wonder if she has to prove what she actually paid for the items? An example: Some Hallmark Christmas ornaments became “collectible” a few years ago and sold for a premium (sometimes a large premium) over list price. By now that fad has pretty much gone away. But my Countess still has a few (Out of many thousands a few years ago) and sometimes these still are marketable. E-Bay will report any sales as income, regardless of what was paid for it. She didn’t keep any records, so we will likely pay a bit of extra tax. I suppose it’s our contribution to reducing the deficit.