posted on December 12, 1999 05:48:25 PM new
Hi Adrian:
We were also told by eBay that this is a priority for them. Obviously, they don't want to see each state requiring regular eBay sellers to pass antiquated licensing exams, pay fees, undergo background checks, credit checks, and the like. Not good for auction users, and not good for eBay.
posted on October 21, 2000 08:55:52 AM new
Anyway you look at it, the government wants nearly all your revenue from any home business. This is the breakdown:
Federal Income tax--33%
State--8%
FICA/Self Employment--15.7%
Local--2.5%
Ebay--5% plus insertion fees
Business License (Orange County, CA)--$288 upfront then $138/year thereafter.
Fictitious business name posting--varies per newspaper
The list goes on and on. I was considering using eBay as a business and quitting my job, but the above fees and taxes were an impediment.
I'm just sticking to it as a hobby to get rid of my extra stuff.
I already pay tons of taxes on my income from my day job including FICA, which I will probably never collect. The government has put so many barriers that it really discourages free enterprise.
posted on October 21, 2000 09:35:37 AM new
Oh I posted to his thread... I see someone brought this to the top.
So whats the deal now?
I see my state is fairly easy, I don't have an clue how much a surety bond would be, that is IF we need an auctioneers license, like I told probater, I have a bus. license to sell, and pay revenue taxes, should be good enough. And yes you can find a lot of deductions.
posted on October 21, 2000 09:58:10 AM new
Hi Steve,
I am confused!
I remember your post where you said that OAUA stopped the NC Auctioneers Licensing Board:
"North Carolina backed off recently, suspending their efforts to license online auction sellers . . "
However, the NC Auctioneer Licensing Board says they never backed-down and that they are moving forward full-steam, seeking AG approval to enforce their Laws on eBay.
posted on October 21, 2000 10:08:12 AM new
There is no auctioneer, and there are no auctions at eBay.
In most states, an auction is defined as a process where an auctioneer makes repeated requests for bids. So sealed bid auctions, silent auctions, etc., are not "auctions" as defined by the laws of most states, and you don't have to be an "auctioneer" to run them.
What happens at eBay is most akin to a silent auction. Simply posting an item and announcing that it will be sold to the highest bidder 7 days later is not "making repeated requests for bids."
Now, if a seller wants to add a supplement to his eBay listing everyting a bid is placed, saying "Come on, folks, it's only at $6.00. Won'y somebody make it $6.50?", that would be an "auction". But I don't know anyone who does that.
posted on October 21, 2000 10:35:14 AM new
This is an OLD thread- there have been more recent threads here at AW that have updated the situation somewhat.
Briefly, because of pressure from the public, the OAUA, and eBay, the North Carolina Auction Board on December 15 last year moved to defer any further licensing requirements for online auction sellers, and has referred the matter for study to the Committee on Information Technology of the North Carolina General Assembly. The matter remained there last I checked a few months ago- it could well die there (a good thing, in my view). I'm not aware of any renewal of licensing efforts by the North Carolina auction license board.
Tennessee has sanctioned a couple auction web site owners, and required them to become licensed in Tennessee if their servers are located in that state.
New Hampshire (last I spoke to them, a couple months ago) still maintains that their old B&M laws apply to online auction sellers; however it appears that they have not taken any enforcement action since North Carolina ceased enforcement attempts.
posted on October 21, 2000 04:08:15 PM new
magazine guy:
So what happens when the Committee on Information Technology of the North Carolina General Assembly approves the interpretation of NC law?
You know that NC DID NOT drop the matter. Please don't tell people that NC "backed-down".
As you know, the NC auctioneer licensing board they quickly referred the issue to the Comittee for final approval. Once approved, the Law will be fully enforeable for eBay.
This is not a dead issue, and many folks in NC are pushing for it.
I hear the some B&M auctioneers are considering suing the State under the doctrine of "equal protection".
Their posture is that EVERY class of auction firm, B&M or Ebay, should be subject to the same licensing requirement. There is lot's of legal precedent for equal protection.
After all, why should one class of auction firm require a license, while another does not?
posted on October 21, 2000 04:24:51 PM new
Probater~~
Where are you getting your mis-information from?
The NC auctioneers Board has NO authority to interpret current statutes other than for B&M establishments.
They did not turn it over to the Internet Committee. It ended up there after the letter and email campaign that began last year by constituents to their representatives. The Auctioneer Board got caught trying to do something they are not charged with doing.
High on The Internet Committee's priority list is to get all North Carolinians affordable access to the internet.
This is still at least 3-5 years away for residents living in remote areas.
I don't think the Internet committee will be even addressing the issue any time soon.
posted on October 21, 2000 05:23:26 PM new
toollady:
It is my understanding that the NC Auctioneer Licensing Board feels that their 1973 law applies to ALL auction firms in North Carolina, internet-based and otherwise.
I agree with them and so do thousands of others.
The issue was forwarded to comittee for final approval, and the only consession that NC made was that they will defer enforement until the comittee approval is final.
posted on October 21, 2000 09:36:53 PM new
Probater:
Much of what you say is true. Ane NC Auction Board certainly does feel that the 70's statues apply to online auction sellers. They have an opinion of their in-house counsel that supports that view.
And there ARE lots of folks in NC, most of them B&M auctioneers, who would like to see the license board take on online auction sellers. Some because they see online auction sellers as a threat to their business, some because they feel they are being held to an unfair higher standard than online auction sellers.
There are also lots of folks in NC and elsewhere that disagree with these views. Many of the state legislators, including the IT chair, are among them.
The Auction Board didn't refer anything to the committee- that's not how things work in NC. Due to media attention and a letter writing campaign, the committee chair and other state politicos got wind of what the Auction Board was starting to to on its own- and the Board's actions impacted other agendas that the committee was involved in. The committee chair "asked" (politico speak for "told" Board director Hamilton to back off until the committee had had time to evaluate how the licensing law interpretation and enforcement impacted other things NC was trying to do regarding IT, interenet access, online sales taxes, and the like. Hamilton did as he was "asked" to do.
The best information I've had on this is that the matter may well die in committee- a fairly common outcome.
But it IS a very real issue, one that will raise its head from time to time as states look for additinal sources of revenue.
Steve
[email protected]
posted on October 24, 2000 10:17:01 AM new
I find this all pretty interesting. I'm an editor for eCompany Now and we've just completed a piece from our legal columnist on the law suit pending against eBay for allegedly violating a California auctioneering statute.
You can reach the article from our homepage: http://www.ecompany.com.
Interestingly, we're polling folks about whether they believe that eBay should be on the hook for facilitating the sale of illigit sports memorabilia. The overwhelming response right now is no. But it seems like these sorts of laws can do a lot of damamage if applied inappropriately.
[ edited by jmacht on Oct 24, 2000 10:18 AM ]
[ edited by jmacht on Oct 24, 2000 10:19 AM ]
[ edited by jmacht on Oct 24, 2000 10:22 AM ]
Board director Hamilton to back off until the committee had had time to evaluate how the licensing law interpretation and enforcement impacted other things NC was trying to do regarding IT, interenet access, online sales taxes, and the like. Hamilton did as he was "asked" to do.