$600 dollar new law

[vouxiong]

Today I have taken everything offline and no longer will be selling on eBay. With the threshold dropping from $20,000 and 200 transactions to $600 annually is truly a way for our government to tax an average person who just sells things they don't need. I pay tax's when I buy a phone, I pay tax's to use my phone, I pay tax's to sell my old phone. As an American paying tax's is a must but to what extent does the government tax everything we make even if it's a dollar? eBay will and other third party seller's will suffer, mark my word. 

[stainlessenginecovers]

The law has ALWAYS been:

....you NEED to REPORT any ADDITIONAL money coming in, to you, from another, OVER $600. 

Again.. ALWAYS OVER $600.

What do you think has changed? 

Do you plan to Claim that $900 Sports Card you sold in October? 

[katzrul15]

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@vouxiong wrote:

Today I have taken everything offline and no longer will be selling on eBay. With the threshold dropping from $20,000 and 200 transactions to $600 annually is truly a way for our government to tax an average person who just sells things they don't need. I pay tax's when I buy a phone, I pay tax's to use my phone, I pay tax's to sell my old phone. As an American paying tax's is a must but to what extent does the government tax everything we make even if it's a dollar? eBay will and other third party seller's will suffer, mark my word. 

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Okay.  I marked it.   

Congratulations.  This is thread 6,947 on this topic.  53 more and there will be a prize.  (j/k)

The only change is the reporting threshold for the 1099K.  

Best of luck to you in your new Seller endeavors.  I would type more, but need to save the characters for the next thread, which should arrive in about 3.3 minutes.

All the BEST to you!

[farmalljr]

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@vouxiong wrote:

Today I have taken everything offline and no longer will be selling on eBay. 

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There, I'll stop you there.

 See ya! 

The rest of your diatribe, I don't care about. Good luck and goodbye.

[buyologist-3]

And she will be there!  It never gets old, right?  Ha!  This is so funny!

[house*of*paws]

Hi @vouxiong 

I'm sorry, but you are misinformed.  There has been no change in the tax law at all.  The only change is the requirement to send a FORM to online sellers.  The law remains the same.

[jayjaspersgarage]

The only time we don't pay taxes is when we are born because our parent(s) pay the tax on that hospital bill.

[mtgraves7984]

As an American paying tax's is a must but to what extent does the government tax everything we make even if it's a dollar?

@vouxiong 

It's a global phenomenon. (Obviously, a problem for the British, at least as early as 1966.) From The Beatles' 'Taxman':

Let me tell you how it will be
There's one for you, nineteen for me
'Cause I'm the taxman
Yeah, I'm the taxman

And that ^^^ was just one verse. I can't even fathom "to what extent"...

[divwido]

No, I shall mark your word.  But hey, welcome to the United States.  yes, this is how it's done here.

[richard454]

Just NOT true-see below.

BTW- I just received a $10,000 check from a neighbor who I helped her out when she couldn't travel home during covid. She plainly wrote on the check "Gift." I do NOT have to report it

https://www.irs.gov/pub/irs-news/fs-07-23.pdf 

"Income resulting from auctions akin to an occasional garage or yard sale is generally
not required to be reported. However, there may be exceptions. If an online garage sale
turns into a business with recurring sales and purchasing of items for resale, it may be
considered an online auction business."

[coinhabit]

Here is something to thank about just say I brought a chair for my home in 2021  PAID $1000.00 PLUS TAX now I want to sale it in 2022  for 600.00  and I use a cash app. to get paid. Here comes a 1099. Mine you I,M not a seller I,M just old Joe selling a chair I do not want. so yep is a NEW TAX LAW.

[maxine*j]

Here's the deal:

No matter what spin you try to put on it, you have been running a small business on eBay for several years and should have filing your taxes accordingly;  i.e., reporting your income from your sales and paying any taxes due on it.   Not doing so gave you a substantial and unfair advantage over sellers who did, who operated straight, so don't expect sympathy from them now that the jig is up for you.

Happy trails.

=

[richard454]

Exactly...you are now guilty until proven innocent.

Hope you saved the receipt...

[dq3141]

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@richard454 wrote:

Just NOT true-see below.

BTW- I just received a $10,000 check from a neighbor who I helped her out when she couldn't travel home during covid. She plainly wrote on the check "Gift." I do NOT have to report it

https://www.irs.gov/pub/irs-news/fs-07-23.pdf 

"Income resulting from auctions akin to an occasional garage or yard sale is generally
not required to be reported. However, there may be exceptions. If an online garage sale
turns into a business with recurring sales and purchasing of items for resale, it may be
considered an online auction business."

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Citing an outdated IRS document from 14 years ago only proves you don’t have a leg to stand on. 

[victoriasecreteposhseller]

Would donating your items and keeping the receipt as a tax write off actually let you keep more money than you'll have to pay in taxes? Do whatever allows you to come out ahead.