I am a merchcant get chargebacks, and also the good old swap on returns.

[taxless]

I am a merchant. I have online stores, and few ebay usernames and sell on amazon, as much as I a hate to say I get chargebacks, chargeback fees, and also the good old swap on returns.. How can I write this off on my taxes? do I need to file police reports?

 

[LdiJ]

I am a merchant. I have online stores, and few ebay usernames and sell on amazon, as much as I a hate to say I get chargebacks, chargeback fees, and also the good old swap on returns.. How can I write this off on my taxes? do I need to file police reports?

Those are normal costs of doing business therefore easily dealt with on the taxes. I would probably deal with the chargebacks and swaps as returns (a reduction in income) and the chargeback fees as bank fees (an expense).

 

[CdwJava]

A chargeback is a civil matter not a criminal one. Unless you can PROVE BEYOND A REASONABLE DOUBT that the person conducting the chargeback intended to do so from the outset in order to defraud you, this is not a crime.

If they do not return the item, MAYBE, there could be some possibility of a crime report. Maybe.

For the most part, the police are not going to investigate this even if they do take a report. The best you might hope for is that they give you a case number and you might be able to write the loss off on your taxes since it would be a loss, I presume. At least the business owners I know are able to write off certain types of losses ... but, if you are doing your sales on eBay and the like, you may want to consult a tax professional to determine what you can or cannot write off.

 

[FlyingRon]

Do a better job on your business procedures. I've been on Ebay since 1997. I've had exactly two transactions go awry. One was covered mostly by the ebay/paypal protections. The other was a failure to pay that I just filed for the credit on, relisted, and in fact sold for more the second time around.