The ATO already knows about your eBay sales. Here's what that means for your tax obligations — and how to stay compliant.
One thing many eBay sellers don't realise: eBay provides annual sales reports to the ATO as part of the government's data-matching program. This means the ATO can cross-reference what you've sold on eBay against what you've declared on your tax return. Under-declaring eBay income is a genuine compliance risk — and the ATO's data-matching technology is improving every year.
For most Australian eBay sellers who operate as businesses, the key obligations are straightforward: declare your gross eBay income, deduct eligible expenses, and pay tax on the net profit. GST only becomes relevant once your annual turnover exceeds $75,000 — below that threshold, you don't need to register for GST or charge it on your sales. Once you cross that threshold, you must register, lodge Business Activity Statements (BAS), and account for GST on eligible sales.
The good news: eBay fees are fully tax deductible. Final value fees, listing insertion fees, promoted listings fees, and any other charges eBay deducts from your payouts are legitimate business expenses. The challenge is that tracking all of this accurately — especially when you're selling dozens of items per month across multiple categories — requires more than a spreadsheet. That's where Franked comes in.
Built for eBay sellers
Import your eBay sales, automatically reconcile fees and payouts, and produce the records the ATO expects — without the Sunday afternoon spreadsheet sessions.
Connect your eBay account and pull in all sales, fees, and payouts automatically.
Franked matches your eBay sales, final value fees and payouts automatically — no manual cross-referencing.
See net profit after eBay fees, postage, and COGS — not just gross revenue.
Export clean reports your accountant can work with at tax time — no explanations required.
FAQ
Yes. eBay provides annual sales data to the ATO as part of the government's data matching program. The ATO can cross-reference your eBay sales data against your tax return, which is why accurate declaration is essential.
GST applies once your business turnover exceeds $75,000 per year. Below that threshold, you are not required to register for or charge GST. If you exceed the threshold, you must register for GST, charge it on eligible sales, and lodge BAS statements.
Yes. eBay final value fees, listing fees, and any other platform fees are tax deductible as business expenses, provided you are operating as a business rather than a hobby. Keep records of all fees charged by eBay throughout the year.
eBay business income is declared as business income on your individual tax return (or company/trust return if applicable). You report gross income and can deduct eligible expenses including platform fees, postage, cost of goods, and other business costs.
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