Online Auction Sellers Require License
Online auction sellers may be required to have license to sell. eBay recently emailed out a request to join Ebay Main Street site. The site is a membership based program. Looks like eBay wants to keep us informed on the Laws Governing online auctions. Recently, government officials have passed and are hoping to pass laws that will change the way we run our online business.
As I previously informed you, one site that may have the largest impact could be Etsy . Recently, The CPSIA Mandatory Test & Certification announced they will suspend the proposition for One Year. This is great news for all on Etsy (details will follow). However, there are many other regulations that can affect your online business now.
eBay always staying ahead of the game created a site called eBay Main Street Member Program.
eBay description of eBay Main Street Program and what it means to you:
“eBay’s Government Relations team invites you to join the eBay Main Street Member program. We’ll keep you informed and help you take action on government regulations affecting your ability to trade on eBay.
What is it?
eBay Main Street is a grassroots network that allows eBay to keep you informed of legislative matters that may affect your ability to buy and sell on eBay. In order for you to receive Main Street notifications, eBay needs your permission.
What issues does eBay Main Street monitor?
eBay wants to make you aware of legislative threats in your state and in Washington, D.C. We currently monitor and are involved with many issues relevant to the eBay community, including:
- Auctioneering License Requirements – Some states are attempting to require eBay sellers to become licensed “auctioneers.” Some states require up to $1000 in annual licensing fees and time-consuming auctioneering schools, where you will learn important online skills such as “voice modulation.” Without a license you could be subject to thousands of dollars in fines for selling on eBay.
- Distant State Sales Tax - There are 45 states and the District of Columbia that have sales taxes on goods. These states have sought for years to make out-of-state sellers collect sales taxes on their distant sales. The states have proposed a new scheme that will be debated in Congress to require eBay sellers to collect and pay these taxes to the states (with thousands of local jurisdictions) where your customers are located. Without your help, you could be required to file and pay a monthly tax bill in each state and be subject to yearly audits in each state.
- And more: Including pawnbrokering licenses, auto dealer requirements, event ticket restrictions, etc!
What does the eBay Main Street program do to protect me?
eBay spends countless time, energy and money working to protect you. Our government relations teams and eBay executives speak on your behalf with state and federal government officials every day. As effective as we are, our voices with policymakers pale in comparison to yours. Simply put, government officials listen best when they talk to you – their constituents – real eBay users. We may ask you to write letters, send emails or call your elected officials on crucial issues. At other times, we may ask you to join us in your state capitol or Washington DC to educate and speak to your legislators in person!”
Running any business online or not; brings with a lot of responsibility. Ignorance of the law is no excuse. It is your responsibility to learn all you can of your local regulations and Federal Laws that apply to you.
If you have questions take notes on who you contact, when and where. In the event you ever have any issues you can offer proof of your diligence.
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GREAT advice as always! Good info to know! I’m still juggling ideas around in my head about which direction to take… thank you so much for the tips and advice you gave me btw..
Oh wow I didn’t know all of this. Great tip, yes everyone should keep notes of who told them what just in case.
@ Jake – Hey, juggling is fun, and with all those ideas you may soon find the right fit
@ Betty – That’s right. Kinds track of your resources
There are literally thousands of things you can do to promote and advertise your site, here are some that I found to work for me.
This just goes to show you how backward our lawmakers are. Instead of taking steps to encourage commerce and hence giving us the ability to make money, they are seeking to set up severe restrictions. Does anyone want to tell me how these actions by our knuckleheaded government will help the economy? It’s great that you have provided this insight and thunks for the update.