ANSWERS: 2
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To the best of my knowledge, no. Under IRS regulations, it's the business or individual who pays you who would be responsible for reporting any taxable amounts. Since eBay doesn't pay sellers, they have no need to report sales amounts. (Besides, they have no way to verify that the seller ever actually got paid, or how much.) Any time someone reports taxable monies to the IRS on either a W-2 or a 1099, they are required to send you a copy, also. If you don't get a 1099 from eBay, you can assume they haven't reported anything to the IRS. However, if the IRS were auditing someone and suspected that there were significant amounts from eBay sales that had not been reported, they could almost certainly require eBay to provide a record of a seller's auctions as part of the audit.
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Someone that I know works in the tax office in the UK (Inland Revenue or HMRC as they now like to be called) told me that they have got no chance of catching you for selling stuff on Ebay UK, as apparently Ebay keep their records in Geneva and the tax office have no access to them at all. Apparently they know loads of people who are making loads on Ebay but can't get the proof. He basically told me that unles you really are making loads and loads, then you can probably get away with it quite safely since it takes them all their time to catch the big guys. Not that I'm recommending tax evasion...just letting you know what he said!
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