1099k Threshold of 200/$20,000 Returning?

[jitalo2022]

FYI: Looks like the proposal to revert back to 200/$20,000 to receive a 1099k has been introduced a few days ago. 

With the Republicans holding the House, Senate, and Presidency it looks like it has a good chance of passing. 

https://financialregnews.com/legislation-reintroduced-to-revert-1099-k-threshold-level-to-20000-for-...

[loose_goose_garage]

This wouldn't change much, only difference is you won't get a form for under $20k, like it used to be.

The income under $20k isn't any less taxable, you just need to input all the numbers instead of having it laid out on a prepared form.

[lux.ra_14]

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@loose_goose_garage wrote:

This wouldn't change much, only difference is you won't get a form for under $20k, like it used to be.

The income under $20k isn't any less taxable, you just need to input all the numbers instead of having it laid out on a prepared form.

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All true, but someone should tell the congresswoman who introduced the bill. She has repeatedly made statements suggesting that no 1099 means no tax liability. Example:

"My bill, the Saving Gig Economy Taxpayers Act, will spare Americans from needless taxes."

Irresponsible and false, but music to the ears of the many online sellers who have cheated the taxman for years.

[monica-sells]

I think we should continue to streamline the business environment, but your statement is right on the mark.

This Congresswomen is actually endorsing tax evasion (based on current tax laws). Not a good look for a "lawmaker"

[caldreamer]

State requirements are different from Federal requirements so you may get a 1099 anyway.   Also, IRS requires that you report all income earned whether you get a 1099 or not.

[midwestmerch17]

We can hope! 😀 It should be up to the seller to report his/her income, not ebay.

[albertabrightalberta]

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@jitalo2022 wrote:

FYI: Looks like the proposal to revert back to 200/$20,000 to receive a 1099k has been introduced a few days ago. 

With the Republicans holding the House, Senate, and Presidency it looks like it has a good chance of passing. 

https://financialregnews.com/legislation-reintroduced-to-revert-1099-k-threshold-level-to-20000-for-...

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So? Are you under the mistaken impression that it changes your tax liability or income you have to report? 

[frugalmarketplace]

@jitalo2022 

In the country I was used to...you owe taxes on any earned income. I realize that is not the model you are seeing, but it is the way it is supposed to work.

You earn it...you pay on profit

[kensgiftshop]

Hopefully they leave it at $600 or lower it more.

There is already enough tax cheats.

[simba6]

That would only mean you don't receive that form.  It does not eliminate the taxes you might owe.

[buyselljack2016]

@jitalo2022 

Scofflaws rejoice.

Renewed path to tax evasion pending.

[12345jamesstamps]

I understand everyone needs to pay taxes on earned income. I do.

But how or who will know if you have sold that iPhone online for $700.00? if the threshold returns to $20,000...which is the California rate.

While more and more IRS employees are being let go as we speak instead of being hired...who will know?

And it seems the current administration prefers to eliminate more taxes somewhat during this 4 year period.

A lot of people at the top tier do tax evasion or bogus deductions as we hear all the time on the news.

Why even have such a threshold if everyone is suppose to pay taxes on earned income.

Why is there such a threshold?...It sounds like only those who do pay taxes on earned income will be the only ones who get looked at when doing taxes...the few still not let go by the current administration.

Just thoughts. Is there such secret police out there watching to see if you sell that iPhone for $700.00 to a stranger in a coffee shop?

[chapeau-noir]

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@jitalo2022 wrote:

FYI: Looks like the proposal to revert back to 200/$20,000 to receive a 1099k has been introduced a few days ago. 

With the Republicans holding the House, Senate, and Presidency it looks like it has a good chance of passing. 

https://financialregnews.com/legislation-reintroduced-to-revert-1099-k-threshold-level-to-20000-for-...

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It won't make a dayum bit of difference - it's the billionaires who are getting the tax breaks this administration, not we peons.

[carlmarxx]

I agree  it  won't  make  difference   to   GOP   controlled  states    that  rushed  to  lower   their state   sale's tax  thresholds  after  SD.  won  their case against  Wayfair in 2017 .And Nor  did they care about  the  Fed.  1099k  threshold   of 200 items /$20 K    started  in 2018 .    

[monroe67]

"1099k Threshold of 200/$20,000 Returning?"

With This Guy in the White House, God only knows what he might try to enact. 

It might be like his tariff policies:  If you don't like it, wait a day and he'll change it.     

If that 1099-K threshold does get increased back to $20,000 and 200 separate transactions, 

that only means that eBay will probably issue fewer 1099-K forms.  

Because the 1099-K threshold applies only to companies/organizations that must issue 1099-K forms.  

All US taxpayers are expected to list all their income when they prepare their tax return documents.  Regardless of whether or not they have a piece of paper to verify the amount they list as income.