New 1099-K reporting guidelines.

[lightlily_arts]

Recently I responded to eBay’s request to message my congressional representatives regarding the change in 1099-K reporting.   This is the response a received from my US Senator Representative.

“Thank you for writing to share your concerns regarding a proposal to reform Internal Revenue Service reporting practices. I appreciate hearing from you.

According to a March 2021 study by the National Bureau of Economic Research, the top one percent of earners fail to pay approximately $175 billion that they owe each year. Under his “American Families Plan,” President Biden has proposed revitalizing enforcement of the federal tax code to ensure that the wealthiest Americans actually pay what they owe. This plan includes a proposal to require financial institutions to report information on account flows so that earnings from investments and business activity are subject to independent reporting just like wages already are.

I deeply value Americans’ privacy and the responsibility financial institutions have in protecting their customers’ financial data. I also believe it is important to close the gap between taxes owed and taxes paid to ensure wealthy individuals are paying their fair share.”

I seriously doubt that this tax change will actually impact the so called wealthiest Americans.   Instead it will be a burden for individuals selling off their personal items to make ends meet.  Although I agree that all income should be reported the $600 threshold is a joke.   I found the senators response even more annoying when our current president used S Corporation tax loopholes to avoid paying 500K in taxes.  

I recently received a notice from Facebook regarding the new tax law reporting requirements.
I don’t know how many people who sell personal items locally through Facebook for cash actually get their asking price. When you delete a listing Facebook asks if it sold and whether it was on their site. So how is Facebook going to track cash payments?

[beautifulbeauty2012]

Not quite yet. The current governmental restrictions is a step away from concentration camps. Socialism and communism are not only about making everybody, but those with the power, poor = equal, but also removing (well, killing would be the correct term) those who have brains and individualism. And you wouldn`t believe how fast things change.  The chaos is the necessary preliminary part, and there are plenty of it now - more than I ever seen.

History repeats itself. In 1917, the Bol'sheviks took over telephone, telegraph, press, bridges, roads, railway stations... In 2021, the press and internet have been taken over already... 

[bbravo65]

@beautifulbeauty2012 

...the simple way for the native born Americans is asking the naturalized Americans whom fled themselves from their socialist and communist countries and sought for freedom in the USA as the Cuban, North Korean, Vietnamese, Russian, Romanian, etc...

[gramophone-georg]

Can you show me anything proving that ANY of that is even partially true? (OANN, Info Wars, Parler, Breitbart, and Facebook posts don't count). Thanks in advance. Thread bookmarked.

[gramophone-georg]

Eee-yup!

[trustblue127]

You wrote "Buyers bought on-line to evade sales tax. Sellers sold on-line to evade income tax".

Some states don't have Sales tax.

Nobody sells on line to evade income tax.  People sell on line to gain extra income that they need to live.

Wealthy individuals don't sell on line. 

Buyers buy on line not to avoid sales tax.  But for convenience. Some people don't have stores nearby their small towns where you can buy some specialty item that they need.  Or to get choices that they can't get locally. 

The government can save billions by spending our tax money more conservatively. They don't think about ways to save money only ways to spend money and when they need more they tax us more.

[lightlily_arts]

I started buying on eBay in 2000.    Rather I was seeking items that I just couldn't buy locally.  I purchased antique and vintage collectibles in addition to specialty art and craft supplies.  Over time I also found better prices for new personal items as well.    I really like the convenience of not having to drive around to do my shopping.  For that same reason I've had an Amazon Prime account.  For me it's worthwhile expense since I also stream TV shows and movies.

Later I also occasionally sold off personal items. It was never about evading taxes.  Personally I believe the $600 threshold for the 1099-K is ridiculous.  Perhaps the 20K /200 items was too high and a more reasonable approach would be half  that amount.  However, anyone just selling off personal items at a loss isn't going to owe any taxes unless they are making a profit.   People shouldn't really be fearful because if you actually looked at your selling costs your net is markedly less.  As an example when reviewing my eBay selling costs for the past 30 days they were 42% of my gross, and that doesn't even include my original expenses.

[wildpitchsports]

---

@trustblue127 wrote:

You wrote "Buyers bought on-line to evade sales tax. Sellers sold on-line to evade income tax".

Some states don't have Sales tax.

Nobody sells on line to evade income tax.  People sell on line to gain extra income that they need to live.

Wealthy individuals don't sell on line. 

Buyers buy on line not to avoid sales tax.  But for convenience. Some people don't have stores nearby their small towns where you can buy some specialty item that they need.  Or to get choices that they can't get locally. 

The government can save billions by spending our tax money more conservatively. They don't think about ways to save money only ways to spend money and when they need more they tax us more.

---

Big government shill again. Wonder what they did before the internet? Most of us clawed onto eBay from trade shows & flea markets to simply reach a wider audience.

But nah - EVERYONE IS A TAX EVADER AHHHHHHHHHHHHHHHHHHHHHHHHHH THROW GRANDMA IN PRISON FOR SELLING HER SEWING MACHINEEEEEEEE

Don't worry eBay will become an echo chamber about a year from now. Then they will be at home.

[trustblue127]

There is no such thing as a net cost or net income if you are not a business.  If you gain income from sales of new items, or profits on a sale, and you are not a business you have to declare your income.  There is no deduction for expenses if you are not a business.  If it's a hobby you have to declare your income.  Only registered businesses can offset their income with legitimate business expense deductions.

[wildpitchsports]

---

@beautifulbeauty2012 wrote:

Not quite yet. The current governmental restrictions is a step away from concentration camps. Socialism and communism are not only about making everybody, but those with the power, poor = equal, but also removing (well, killing would be the correct term) those who have brains and individualism. And you wouldn`t believe how fast things change.  The chaos is the necessary preliminary part, and there are plenty of it now - more than I ever seen.

History repeats itself. In 1917, the Bol'sheviks took over telephone, telegraph, press, bridges, roads, railway stations... In 2021, the press and internet have been taken over already... 

---

Well, there was the potential for Covid Camps (some Dems wanted them) like they have/had in Austrailia.

Over the past few weeks alot of these "mandates" have been knocked down by the Supreme Court and rescinded in quite a few states. 15 jabs and mandates won't solve this - finding out the true origin of this and how to stop it will.

Less Fauci more scientists.  Less cable news and more self-awareness. 

Big government is now looking to trap crypto in the same way the trapped online sellers starting 1/1/22.

Funny story though - let's tax everyone but not raise interest rates so the rich and banks keep getting richer and richer and charge people up to 40% interest on credit cards to pay for the self-induced inflation.

The picture is getting clearer and clearer. And in socialist communist states all you have are two types of people - very rich and very poor.

*looks at America*

Getting there fast. The government is just pushing it downhill faster every day.