too good to be true, or am I overly cautious?

[money_noob]

spoke to an accountant. There are no sales taxes on internet sales, and the income is based on the 1%.

[disneysteve]

spoke to an accountant. There are no sales taxes on internet sales, and the income is based on the 1%.

There is sales tax if the customer resides in your state. For example, I live in NJ. When buyers in NJ win my ebay auctions, I do collect and submit sales tax for those transactions.

You income would be based on the 1%, but you don't just report the 1%. You report the entire amount and then deduct the expenses. In your case, expenses would total 99% of the total. For most of us, expenses are cost of merchandise, shipping supplies, ebay fees and Paypal fees. I'm willing to bet your business partner isn't filing the proper taxes and reporting his income, so that's another risk here. If you partner with this guy and he is evading taxes, you could be held liable for that, too.

[DebbieL]

The whole thing is shady, and an all around bad idea. I don't honestly think you have any intention of listening to anyone's advice anyways. Did you want a pat on the back or something. It's ILLEGAL and wrong.

[lovcom]

The original poster sounds like an accessory to fraud. You have no out if a district attorney gets involved. You need to get out now. You might go to jail along with the principals of "company A".

[Joan.of.the.Arch]

NOTE TO SELF: Do not buy any Craftsman knock-off tools via eBay.