albertabrightalberta
mam98031 • Volunteer Community Member • Buyer/Seller since 1999
@pbadome wrote:I left money on the table from three different jobs over the course of my career. They all asked me to pick up my last check, and I told them all you need it more than I do. That total was $700.
I owned my own business from 1983-2007 and for those 24 years no one could bribe me or tempt me. My largest customer threatened to throw me out and then did toss me out when I told him that "I've been thrown out of better places". I walked away from $220K in gross sales until a month later when they came back to me for a deal.As a shop steward for my Local in the Teamsters then again for my job in CSEA I've been offered money enough times until they understood who I am. Even the higher ups in the Teamsters handed me a check that "everyone" gets, I took it and flushed it down the toilet.
I tell you this because I sense that you've never met anyone with integrity. Yes, the ball has always been in my court, and sometimes I take that ball, lay it down, and walk away just like this $194, can you say the same?
Walking away from legitimate money isn't integrity. It's stupidity.
@pbadome wrote:The threshold for a 1099 was $21K, on the occasional sale that I make, I claim nothing because whatever I sell is below market value.
You're doing it wrong then. You are still supposed to be claiming your sales. Then, you deduct your expenses and if the balance is loss, you don't owe any taxes. But you're still supposed to be claiming!
@pbadome wrote:Best advice, good job, thanks. I am familiar with the 1099, I gave them out to people who worked for me part time over the 25 years I was in business.
Not a 1099K. Each 1099 has it's own rules. They are not all the same. And certainly many have changed over the past 25 years. The 1099K didn't even exist until 2011 and then applied to 2012 money received by a money processor.
@pbadome wrote:I agree, I read the history. My issue with Ebay was that I never reached the $600. No matter, it's behind me now, thanks.
Well you have this year. So you do have a 1099K in your future.
@pbadome wrote:I agree, and part of being vigilant is not putting my SS number over the internet.
There is a complete difference between giving sensitive information over a non secured site and a secured site. Information of any kind.
When we order things online a Target, Walmart, Costco, etc. We give them our CCC numbers online but in a secure site. One should never do such a thing on a non secured site.
@bonjourami wrote:Actually, the threshold for 1099K was never $21k, that threshold was simply when PP would issue the 1099K, sellers have always been responsible to report all their Ebay sales.
The old threshold was 20K and 200 transactions.
And you are absolutely correct, a threshold on ANY FORM does not set the minimum amount of income for reporting to the IRS. There is no such minimum threshold.
The threshold on the 1099K is merely the minimum requirement for that FORM and nothing more. With or without the form, we are all responsible for reporting our income to IRS. Which my guess is too many people were confused by this which is likely what brought on the reduction in the threshold to $600. Too many people abusing the system and not reporting income as they should.
@pbadome wrote:Good questions that I can almost guarantee will not be answered on this thread, thanks.
@pbadome and @jimsvinylvault I didn't go back to see if the questions were actually answered, but I can take a try at it.
1) When eBay issues the 1099, will it ONLY BE for the PURCHASE AMOUNTS.....and NOT INCLUDE what the collected for Shipping Charges; AND NOT INCLUDE what they collected for taxes? Sounds like a dumb questions, but I have seen some of their software logic....and it stinks (e.g. new Listing Tool).
No, ALL money processors, not just Ebay will report your GROSS RECEIPTS. That means it will be the total amount of money that came into your account BEFORE any deductions for fees, shipping costs, refunds etc. This is not an Ebay requirement but an IRS requirement.
2) Will the 1099 provide us with ALL of the Final Value Fees they have collected for these sales? And includes the rip-off charges against the Shipping Charges.....and the taxes they collected.
No that is not what the 1099K is for. The form is for reporting your Gross Receipts [not sales and not income] to the IRS. You then reconcile that number by deducting for your costs like shipping, fees, product cost, etc. AKA as COGS [cost of sales].
There is no "rip off charges" on shipping charges. Ebay has charged these fees for over ELEVEN years. Other similar sites have done it for more years than Ebay.
The FVF on taxes is a bit more complicated. We have a variety of opinions about that one. But Ebay can charge the fee if they want to, there is no law against it.
