Drop Shipping & FBA TaxAnswered

If I have a US trade or business through FBA, how much of my sales income is actually ECI?

L3
lucia_3d29new member
May 28, 2026 1,690 views 1 answer
amazon-fbaeffectively-connected-incomeincome-sourcingsection-864

Suppose I accept that my Amazon FBA activity gives me a US trade or business. Does that automatically mean all my sales profit is effectively connected income, or does it depend on where the sales are sourced? I've heard that even foreign-source income can sometimes get pulled into ECI. How does that work for an FBA seller?

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