De minimis ends for goods from all countries July 1, 2027
ICYMI - not only did the Big Beautiful Bill include a provision to bring the 1099-K reporting threshold back up to $20,000 and 200 transactions, it also sets a definitive deadline for when the de minimis exception will be repealed for goods under $800 from all countries - July 1, 2027.
My understanding is the previous changes removing the de minimis exception for goods from China are still in effect, this just sets a timeline for when it will apply to other countries as well.
Things could change in the next two years of course, but at least hopefully this will provide some stability and time for sellers, marketplaces, and carriers to make adjustments and plan for the future.
9 comments
bethofvt
·1 year agoYou should make t clear that you are only referring to the FEDERAL K-1099 Threshold. 13 states have lower thresholds and this bill does not affect them.
my-cottage-books-and-antiques
·1 year ago@bethofvt You are mistaken. No state has any threshold regarding the de minimis tariff exemption. You are confusing this law with the threshold for tax reporting. Two totally different things. This has nothing to do with 1099s.
12345jamesstamps
·1 year agoI think they were talking about the 1099K.
valueaddedresource
OP1 year ago@bethofvt that has been discussed to death in other threads, I figured many here already are aware of that and since that wasn't really the main subject of this thread I could simply mention it briefly in passing as also being part of the same bill before stating the point of this thread which is the de minimis exception.
However, for those who are wondering about the 1099-K, there are many other threads for that - here's just one of them:
https://community.ebay.com/t5/Selling/1099k-Threshold-of-200-20-000-Returning/m-p/35156411#M2582965
kalyoth
·1 year agoUntil it comes through official sources, I will stick with reading the actual Bill & not a snippet of text.
valueaddedresource
OP1 year ago@kalyoth not sure how it could get any more official - that screenshot came directly from the Congress.gov site with the full text of the bill, which you would know if you had clicked on the link in my OP....or followed your own advice and stuck with reading the actual bill. 🤷â€
But just to make it more obvious, here you go:
https://www.congress.gov/bill/119th-congress/house-bill/1/text
It's a long one so I'll even do you the favor of suggesting you hit CTRL F and search for Sec. 70531
meme6253
·1 year agoThanks for the information, Interesting stuff.
titipeo
·1 year agoThere’sa lot of money on e-commerce that will be affected by this. I think they will step back on it. This is just bullying & pushing his point across to others.
lawnmowerpartsstore2
·1 year agoVery interesting