THE IRS HAS TAKEN MY TRANSACTIONS VIA PAYPAL AND IDENTIFIED THEM AS TAXABLE INCOME

@Nickaboy1, I see you

It happened to me. I would like to know why, if I buy a component or speakers ect. at a local hifi shop, pay sales tax, and then sell that item later on, how is recouping some of the money I paid for the item (at a loss) considered income and what happened to the tax I paid at the time of purchase?