New iPad-already thinking about selling it.

[barkomatic]

Come on dude, nobody needs anything besides water and food so that's not even an argument.

Sporting events or limited edition products sell out once resellers buy them out. Patience won't get people a ticket to the game after it sells out. The geek who wants an iPad on day one to play with because he loves tech isn't going to be the guy buying an overpriced iPad from the reseller. He's going to be the one waiting days for the stock to replenish.

What I'm trying to say is that I don't see your point...

Well, that person should have ordered it online if he or she wanted it right away. If they were a true geek they would have been waiting for the Apple store to come back online after the announcement.

While it is true that the iPad is not a limited edition, and short supplies eventually give way to abundant supplies within weeks, it still diminishes the customer experience.

Persistant shortages turn customers off, and it makes the buying experience a hassle instead of a pleasure. And if the perception is that Apple isn't doing anything to stop these unauthorized resellers, some of that rubs off on Apple a bad way too. This is why Apple does try their best to curb resellers.

I think Apple may have gotten a bit too ambitious trying to roll out worldwide at once. Perhaps if they had the current supplies but stuck to the slower roll out schedule of yesteryear, we may not have had a shortage yet.

I'm sorry, but I don't feel bad about people feeling frustrated over non-essential luxury purchases. Short supplies never seem to hurt Apple's sales one bit. It's not as if many people who can't get an iPad suddenly run off to get Motorola Xyboard or something. They simply wait for the iPad -- and they eventually get it. Even a 3 week wait isn't a big deal for a gadget. You people are acting as if you are waiting for a kidney transplant or something.

I have an iPad on order myself (due to arrive Friday) and was intending to keep it. For awhile it seemed as if Apple would have enough for everyone but it seems that may not be the case.

Anyway, if somebody wants to pay me a hefty premium for my iPad I will gladly take their money. I will then reorder an identical iPad for myself, which will now be subsidized by the impatient person who *had* to have it right away. A huge new shipment from China might ruin my plans. We'll see.

 

[maclook]

Well, that person should have ordered it online if he or she wanted it right away. If they were a true geek they would have been waiting for the Apple store to come back online after the announcement.

Yeah, this year is different because of preorders. If they didn't they preorder in the first two days, they're noobs

 

[Night Spring]

I think Apple may have gotten a bit too ambitious trying to roll out worldwide at once. Perhaps if they had the current supplies but stuck to the slower roll out schedule of yesteryear, we may not have had a shortage yet.

But last year, a large portion of iPads being scalped were being shipped out of the country they were bought in and sold in countries where iPads were yet to be released. So the argument could be made that releasing in as many countries as fast as possible could mitigate some of the scalping problem.

 

[sahni130]

Yeah, I never really understood why anyones HAS to have any gadget, really. But like many of you have said, if someone wants it that bad and wants to pay a premium for it, then I might as well list it on eBay. I will put the profit, if there is any (I'm $780 into the iPad, plus any seller and shipping fees) and put it into a savings account until the next iPhone is released, or I may put it towards maintenance on my car.

It's going to take a lot of self-control to not open the iPad but hey, I'm sure that if I do....i'll end up keeping it and I can't afford to keep it because on second thought, I need my macbook for writing papers, flash-based online assignments, and light photo editing work. While i'm sure these are possible on an iPad, it's just (arguably) easier and faster to get this done on a laptop, rather than on a tablet.

 

[pear21]

This is definitely a case of first world problems!

 

[bwrairen]

Thats another form of tax evasion, yes, and it depends on the state in which you live. Some states have statutes against this, but many states do not. Enforcement is also a problem.

But making an income and not paying taxes on that income is actually a far bigger crime, and it is a FEDERAL CRIME so it applies to anyone who lives in the US no matter which state they are in. It is akin to people who work for cash and don't file income taxes.

If you flip 4 iPads for $500 profit, that's $2,000 in income. At average tax rates, you'd owe at least $200-$300 of that to the government as income tax (unless you are in a bracket too low to pay taxes) and it should be declared as miscellaneous income on your tax return.

People abusing the system in this way is leading the government to crack down in the US. My accountant told me that by next year, PayPal will be reporting its users earnings to the IRS.

That means if you sell on eBay and get paid via PayPal, the IRS will know about it and will expect you to pay taxes on your profit. PayPal will also issue you a 1099 form which you will have to attach to your tax return, and it will contain all the money paid into your PayPal account for the year.

You will then have to show how much you bought an item for (receipt required) so you can subtract it from the income, which gives you your profit.

Otherwise, if you don't keep receipts or records of what you pay for things and just make money on eBay, you are going to be in for a nasty surprise next year at tax time when your accountant tells you to write a big fat check to uncle sam for its share of your eBay profits.

The days of making big bucks on eBay completely under the table are coming to a close, and people doing this will soon be paying their fair share (like every other retailing business that's expected to pay an income tax).

(FYI, my accountant told me that this rule was going to be implemented this year but got delayed due to the reporting systems not being ready to handle the volume of work that this will add for the IRS, accountants, and people, but it may well be implemented starting next year).

Not a concern if you stay small time. PayPal is required to report earnings only if you receive over $20,000 AND have over 200 transactions annually. If you only meet one of these criteria, you're safe. So, you see, iPad resellers flipping 4 iPads and making $2000 didn't cause (and won't be the target of) this crackdown. And with the way the American government wastes billions of dollars a month, kinda makes me smile to know they aren't getting it.

 

[mwulf67]

[Yeah, I never really understood why anyones HAS to have any gadget, really. But like many of you have said, if someone wants it that bad and wants to pay a premium for it, then I might as well list it on eBay. I will put the profit, if there is any (I'm $780 into the iPad, plus any seller and shipping fees) and put it into a savings account until the next iPhone is released, or I may put it towards maintenance on my car.

It's going to take a lot of self-control to not open the iPad but hey, I'm sure that if I do....i'll end up keeping it and I can't afford to keep it because on second thought, I need my macbook for writing papers, flash-based online assignments, and light photo editing work. While i'm sure these are possible on an iPad, it's just (arguably) easier and faster to get this done on a laptop, rather than on a tablet.

Said the man who just pre-ordered an iPad without apparently giving any or much thought to whether he needed, wanted or could afford it...

To be honest, I will be totally shocked if don't you resell it...and I would be even less surprised if that wasn't your intention all along...

 

[Gregintosh]

Not a concern if you stay small time. PayPal is required to report earnings only if you receive over $20,000 AND have over 200 transactions annually. If you only meet one of these criteria, you're safe. So, you see, iPad resellers flipping 4 iPads and making $2000 didn't cause (and won't be the target of) this crackdown. And with the way the American government wastes billions of dollars a month, kinda makes me smile to know they aren't getting it.

No, the one time occasional scalper isn't the motivation for the law and increasingly tighter regulations. But the example of tax evasion still stands as it is technically tax evasion.

If anyone is making a living from eBay (and plenty of people do) they will easily meet the $20k and 200 transaction limit. I would not be surprised to see the regulations tighten up even beyond that in the next couple of years ($20k OR 200 transactions, for example, rather than "and").

I am not a big government guy myself and if it were up to me the budget would be slashed big time. But the regulations are the regulations, and we have to live with them here.

And while a lot of people pay big attention to LEGAL tax breaks and loop holes for investors and companies, crying that they should be paying their "fair share" the biggest offenders of tax evasion (as in illegally evading taxes, not claiming legal write offs and loopholes) are small business and individuals.

Just ask an accountant about their experiences with "cash businesses" like restaurants, mom and pop retail, car mechanics, etc. Add professional eBay sellers to that list as well.

All that revenue has to be made up somewhere, and that pushes the IRS to crack down on the low hanging fruit such as the legitimate small businesses like mine who have to deal with an increasingly more aggressive IRS every year because they are short on cash.

 

[barkomatic]

This is definitely a case of first world problems!

This is most certainly true. However, even people in the third world line up for non-essential items that they want on occasion. It's human nature.

 

[Jarson]

Do not sell the iPad! iMac + iPad + iPhone is a best solution ever! I have these myself and each has got different purpose. I would rather consider selling MB as in my opinion two computers are not neccessary tho.

Desktop computer - store all data, work on it

iPad - consumption & production on the go; access to your desktop through wifi (splashtop)

iPhone - phonecalling, messaging and all-in-pocket if can't take iPad out.

 

[mac jones]

It's wise to buy and sell it. If you do, you not only make money but you gain confidence in your self control. Give in, and you lose this.

Fortunes are made in this way.

 

[mad-jamie16]

I feel almost unethical about the notion of scalping but, hey, I'm in college so extra money always helps.

If your in college and extra money always helps, then why just not buy the iPad?

 

[Jookbox]

I feel almost unethical about the notion of scalping but, hey, I'm in college so extra money always helps.

I couldn't even afford a computer in college (let alone all the stuff in your sig), so it's hard to have any sympathy.