Sales Reports cover a period from the first to the last day of the month... and that includes total sales as well as separate amounts for eBay fees and Paypal fees.
Sales do not contain value shipping/postage.
My eBay billing cycle is from 15 th to 15 th of successive months.... these numbers are used for tax purposes
I keep a record of sales in US dollars and associated shipping also in US dollars.... on a monthly basis...
My exchange rate for each year is based on a record of all conversions of US to Canadian dollars made by Paypal each time money is transferred from Paypal to my bank account. Total US to Canadian dollars for each year, and not just an average of all conversion rates....
The total transferred from Paypal to my bank account includes item price as well as shipping cost paid by buyers..... but not eBay or Paypal fees.
Everything is done on spreadsheets.... Things can get complicated for a newbie.... knowing how to calculate total income for tax purposes...
When it comes to reporting income to Revenue Canada... I always report a 12 month... Paypal transfers to my bank account.... total.... with eBay fees calculated based on the 15 th of the month bill and Paypal fees calculated from the beginning to end of month from Sales Reports...
As long as one does the same thing every year... everything is OK in relation to reporting for income tax...
eBay and Paypal fees are converted to Canadian dollar amounts using the conversion rate calculated as noted above.
Total income is a total of the amount transferred by Paypal to my bank account plus eBay fees and Paypal fees, all in Canadian dollars...
