mam98031 • Volunteer Community Member • Buyer/Seller since 1999
You have some misunderstandings on this subject. IRS has not had a minimum requirement on when someone is suppose to report their income on their income tax reports for many years. A threshold on a FORM does not change that. And that is all the 1099K is, is a FORM. it does not set a minimum threshold for ALL income and never has.
So you requirement to report your income to IRS has NOT changed at all. What has changed is the minimum requirement on the 1099K form, NOTHING more. Just the requirement to have the form issued to you. So the Democrats did NOT change IRS's requirement to have ALL income reported to them.
Humm, interesting. Biden is certainly working hard to keep campaign promises but it is hard when you have the republicans fighting each and every bill to come their way simply because it is put forth by Democrats. Sure sometimes they have some pretty darn good points that need to be changed, but other times it is for no more of a reason that Biden wants it. Trump was different. He had the majority and could get most things he wanted passed, like taxing the middle class more and the rich less. I know how his change affected me personally and it costs me dearly each year since.
You will only have one for 2021 if you sold a minimum of 20K on Ebay while also in the MP program. If you had any sales that PP was your money processor, you'd have to go to their site to get that.
It doesn't look like you got anywhere near 20K in sales in 2021. So you would not have a 1099K. In 2022 the threshold drops to $600.
In Ebay you find the 1099K by going to your Seller Hub. Hover over your Payment tab. From the drop down menu select REPORTS. Then from there, look on the left and select Taxes.
I am and was correct. What you have brought up is a very good point, however it does not make what I said wrong. I just didn't bring up what you did. Thank you however for the additional information.
@dbfolks166mt wrote:Sorry but what you posted and stated was incorrect and misleading. You will receive a 1099 for the 2021 tax year if your gross sales exceeded the Federal or State third party financial processing thresholds. I am in Virginia and have received 1099's from eBay, PayPal, Venmo and several other financial processors for the last 3 years and sold no where near the Federal limit because Virginia has had a lower reporting threshold for quite some time.
I also did not have to go to the financial processors site to get the 1099 since by law they are required to provide a hard copy through the mail.
NO, In what I stated, I was and am correct. There is no need to argue about this. You however are correct that I did not say anything about the states that require 1099Ks at various thresholds. You provided great information. I'm not at all throwing shade on it. I thanked you for it before, did you need more from me??
EBay made a pretty big mess out of the 1099's this year especially all those that they sent to the CA sellers who in fact should never have gotten one. Then there was the other side of the coin where like you, there were the sellers that should have gotten one because of their state reporting thresholds but did not. EBay has a year to get their act together and get all the bugs out of their system before they will have to issue a 1099 to virtually every US seller in 2023.
One of the biggest issues with MP is eBay is NOT a financial company and was ill prepared for all of the financial aspects of the things that PayPal used to handle behind the scenes. If you should have gotten a 1099 but did not you should report the issue to the IRS. There are some pretty stiff penalties for companies that fail to correctly issue the 1099's.
@dbfolks166mt wrote:Believe whatever you want to believe but this is NOT correct. If it were I and thousands of others who sold less than 20K would NOT have received 1099's for the last several years.
"You will only have one for 2021 if you sold a minimum of 20K on Ebay while also in the MP program."
I know it is important to you, so let me say again. What I said was correct. I did not talk about what a handful of state's require. But you were kind enough to pick up on that and posted that information so that just in case they were in one of those states, they would have the proper information. I've repeatedly thanked you for that and it doesn't seem good enough for you. There is nothing I can do about that.
@mikhirs wrote:They never sent me a 1099k at all. Even though I called them in February and they said they would because my state required one. Had to do my taxes without it, using the excel file I downloaded from them.
Did you sell $2,500 or more on Ebay in 2021 while in the MP program? Your state requires one if you reach that threshold. But if you were part of the year in Ebay's MP and part in PayPal, that may be why you didn't get any 1099K.
When did you enter MP? Did you meet or exceed the $2500 in gross sales?
You are making more out of that than there was. Yes it was disturbing and yes it caused concern. Ebay was quick to let them know they made a mistake and that nothing had been sent to IRS or their state yet, so it won't affect them for their taxes. Then they fixed the issued and took care of the forms that actually needed to be released and deleted the rest. But yes it was a mess for a period of time.
I missed problems with those not getting their 1099Ks because of what their states require, so no comment on that as I didn't read anything on it. I did hear lots of sellers complaining they got one, but they were unaware of what their state required.
@dbfolks166mt wrote:I know it is important to you, so let me say again. What I said was correct. I did not talk about what a handful of state's require. But you were kind enough to pick up on that and posted that information so that just in case they were in one of those states, they would have the proper information. I've repeatedly thanked you for that and it doesn't seem good enough for you. There is nothing I can do about that.
What I find amazing in your responses is you continue to insist what you posted was correct which in fact it was NOT, period end of story. The fact that you did not mention the State reporting requirements is what makes the statement incorrect. It could potentially lead a reader to think that they could simply ignore the 1099 as being a mistake. I realize you are a member of the eBay selling team so realize your inability to accept the fact that what you posted was in fact incorrect and there is nothing I can do about that.
You have made it abundantly clear that you take exception with my post. I respect that and I have repeatedly thanked you for posting the added information about the states. Let us keep in mind that my post was to the OP and not all 6-7 million US sellers on Ebay. For the OP my post was accurate.
Your post took it a step further and clarified things for anyone in any of those states. It is good and valuable information. And some will learn from it.
Slinging insults at me isn't necessary and is unwelcomed and unwarranted. Does "ebay selling team" equal a three word definition for a seller? Or are you implying something else?
