It's been years since I sold anything on eBay, and when I was selling, I made a pittance. But some folks make their living via eBay, and the IRS knows it. Unlike full time employment, there are no W-2's from eBay, and it is not up to eBay to report your earnings. Yet…
According to an article on ars Technica, the IRS is attempting to force eBay to submit documentation to the IRS on the yearly earnings of it's sellers. eBay for its part is resisting at present, by rightly pointing out that there are many online auction/sales houses, and if eBay is singled out, the customers will simply go elsewhere.
So a word to eBay sellers out there… if you aren't reporting your earnings, you might want to start.
Good luck, eBay, at trying to stave off the IRS.