I went and had my taxes done on Sat and my tax lady told me about this new law in effect for all Californians. You are required to claim all profits made on eBay and they are going to try to access your paypal records for proof. I said I didn't sell for profit on eBay and she was kinda hesitant to let me not claim anything. DH and I were actually pissed at the thought of it..........the state of CA wants to get thier share of tax on stuff we are selling on eBay even though we already paid tax on it?? WTF?? SO they want to DOUBLE DIP?? I don't think so. Anywho all the stuff I have sold has been used and I didn't make a profit.........so here's hoping I'm in the clear. Oh and also if you have ordered anything from another state and didn't pay sales tax, they want you to declare that too cuz of course they want their cut!! STUPID!