I don't mean to hijack the thread, but seriously: how crooked is eBay compared to brick and mortar real estate, merchant account, and credit card processing fees? I gather that many eBay merchants neglect to report income from new goods they purchased for resale, so really, it's probably quite a deal.
EDIT: I'm probably just as guilty from a consumer standpoint. The fact that Amazon.com doesn't charge sales tax on shipments to California is something I might have overlooked while preparing my income tax returns.