1099K beginning next year

[kozmo_kramer]

Look for a big slump in Ebay business next year, next year 2022 Ebay will be required to send sellers a 1099K to all sellers with sales > $600.  In the past Ebay would send you a 1099 after you reached 20K in sales and 200 sales.

With Ebay sticking it to sellers with managed payments how many sellers are going to stick around after this year?  Almost 13% ebay gets and the federal, state and local taxes.  

[downunder-61]

To add, people on very low income who are earning a bit of extra on eBay will not end up paying anything extra.

Deduct costs and expenses as always, and you only report profit, if that profit along with other income goes over a certain threshold you will be required to pay, if not, you won't.

[itsjustasprain]

---

@downunder-61 wrote:

To add, people on very low income who are earning a bit of extra on eBay will not end up paying anything extra.

Deduct costs and expenses as always, and you only report profit, if that profit along with other income goes over a certain threshold you will be required to pay, if not, you won't.

---

Right. If youre making a zillion dollars here then youre already probably clued in about how to file and claim the most refund on your taxes. Youre probably using an accountant already too.

If youre making peanuts here then whatever gets reported isnt going to change your tax situation anyway. The way to get ahead is just to know how to claim all the deductions youre entitled to.

[dugoldstuff]

LOL you think it’s ebay. If you voted Democrat this only one of the many screwing you will get.

Right on, brother! It was slipped into the Covid relief bill!

    Wonder what surprises they'll hide in the Infrastructure and Voting bills!

[dugoldstuff]

The ones that will leave are probably the same ones that don't claim their income on their taxes.

The rest of will be sticking around.

Nope.

    I always pay taxes on my eBay earnings, no matter how small, and I left eBay.

[dugoldstuff]

I wasn't saying anything about tax evasion. People come on here and think ebay wants to screw them somehow by making them pay taxes, when it is a political issue now that they changed the law. My point is it's not ebay making you pay your taxes.

The other issue is that it makes it almost impossible to sell for friends, family and co-workers, which I was always happy to do. I gave them an Excel spreadsheet of their earnings and kept one of my own to pay taxes on. I never hit the $20,000 threshold for a 1099, but always paid taxes on my earnings nonetheless.

But now, with the threshold so low, the reportage to the IRS will have gross amount for any sales a seller does for others, and that will have to be explained to the IRS somehow.

[varebelrose]

"...illegal cash transactions under the table..."

Where do you live that it is ILLEGAL for one person to pay cash to buy an item from another individual?

[evry1nositswindy]

I am a small seller and I figure my taxes on a Schedule C.  Lots to write off:  postage, ink, shipping supplies, tape, cost of goods, eBay/PayPal fees, etc.   It leaves a small amount for me to pay taxes on and hasn't caused me to owe money.  Your results may vary if you are not filing jointly.  It also puts income on my SS# to help my SS in the future when I am of retirement age.  

YOU weren't singled out as a large corporation...eBay was.  

[dugoldstuff]

"...illegal cash transactions under the table..."

Where do you live that it is ILLEGAL for one person to pay cash to buy an item from another individual?

It's the globalist elites dream to make this a worldwide phenomenon. Part of "Build Back Better." So, the answer is, "Soon . . .  everywhere."

[forward-motion]

Don't talk to me, whatever you say on here is irrelevant. You are not a seller, you announced that you are a quitter but come here daily to spew negativity like vomit. Maybe you are the shill hmmm. 

[karthok.of.daolodus]

---

@dugoldstuff wrote:

"...illegal cash transactions under the table..."

Where do you live that it is ILLEGAL for one person to pay cash to buy an item from another individual?

It's the globalist elites dream to make this a worldwide phenomenon. Part of "Build Back Better." So, the answer is, "Soon . . .  everywhere."

---

working stiffs like me will build back better because  we dont want to lose our country - if you don't like it putin might have a place for you.

[dugoldstuff]

working stiffs like me will build back better because we dont want to lose our country - if you don't like it putin might have a place for you.

Please do a little research.

    "Build Back Better" is a socialist slogan.

[releasethekraken_1]

---

@dugoldstuff wrote:

I wasn't saying anything about tax evasion. People come on here and think ebay wants to screw them somehow by making them pay taxes, when it is a political issue now that they changed the law. My point is it's not ebay making you pay your taxes.

The other issue is that it makes it almost impossible to sell for friends, family and co-workers, which I was always happy to do. I gave them an Excel spreadsheet of their earnings and kept one of my own to pay taxes on. I never hit the $20,000 threshold for a 1099, but always paid taxes on my earnings nonetheless.

But now, with the threshold so low, the reportage to the IRS will have gross amount for any sales a seller does for others, and that will have to be explained to the IRS somehow.

---

You explain it the same way every consignment shop in the country explains it. One short session with a competent account should be enough for you to know how to pay tax only on YOUR income.

[chrisbarbour1978]

---

@kozmo_kramer wrote:

Look for a big slump in Ebay business next year, next year 2022 Ebay will be required to send sellers a 1099K to all sellers with sales > $600.  In the past Ebay would send you a 1099 after you reached 20K in sales and 200 sales.

With Ebay sticking it to sellers with managed payments how many sellers are going to stick around after this year?  Almost 13% ebay gets and the federal, state and local taxes.  

---

[dirk12955]

Tagging on:

Trying to sort out the idea that the new $600.00 reporting threshold will affect ebay sales totals creating a "Big Slump".

The Buyers won't be affected at all.     Won't even notice.

The sellers sort into two groups.    One group leaves in a snit over the $600.00 1099 threshold and the second group benefits with more traffic due to those sellers in group one leaving.

[wildpitchsports]

Not really. Great job trying to scare people though. Feel good?