New tax laws

[kmyur]

Hi everyone- I am a small business and am wondering if this new 1099 issuing for $600 sales is going to affect your business. Is it gross $600 or after fees? Thanks

[chapeau-noir · Accepted solution]

A brief search on this forum will give you lots of chat about this:  Threads on tax law 

ETA:  If you've never declared taxes before for whatever reason, it's important to talk to a tax specialist about this in order to get the best advice on filing to include all of your legal deductions for your particular tax situation.

[kensgiftshop]

@kmyur 

It's not going to affect my business.

I report my income without receiving a 1099, so nothing will change on my end.

[powell-memorabilia]

Dude, you are selling roughly $5,000 in the past ninety days alone - even more

If you have multiple selling ID’s.  

[asset_liquidators]

Wont affect my business one bit. I have always been paying taxes for my business. Those that were not filing in the past might be in for a rude awakening.

[farmalljr]

Getting 1099's or not, has NEVER affected my business. 

[sin-n-dex]

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@kmyur wrote:

Hi everyone- I am a small business and am wondering if this new 1099 issuing for $600 sales is going to affect your business. Is it gross $600 or after fees? Thanks

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I'm in Canada, we don't have the 1099 reporting but Revenue Canada does audits every few years where seller's records are pulled. As soon as it was more than just $200 of pizza money a month I bought a business license and started to file taxes on my eBay income. Better that than to owe thousands later.

The only people affected by the new law are those who have not been paying their taxes until now.

C.

[collectfest]

No, it's, for the most part always been the law to pay taxes. The 1099 has no impact on how I report my income. Fee's are fee's, sales are sales. If I sell 600.00 and have 900.00 in fees, that would be an accounting issue. I'd still report the 600.00. Thats just me, I am no accountant, I would discuss with an accountant if confused.

[buyselljack2016]

New tax laws?

There is no change in the tax law.

[katzrul15]

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@kmyur wrote:

Hi everyone- I am a small business and am wondering if this new 1099 issuing for $600 sales is going to affect your business. Is it gross $600 or after fees? Thanks

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Gross is reported to the IRS.  You need to be contemplating Federal tax, State tax, potential Self-employment tax, etc.

Unfortunately, none of this is "new".

There is a NEW reporting threshold for a 1099k.  Online revenue has always been potentially taxable. 

P.s.  these are online forums that are public and easily accessed potentially by anyone who wishes to peruse.  If I were an online auditor, I'd read here every day.  Especially as there are multiples of these threads on a regular basis.  Lol

[sin-n-dex]

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@katzrul15 wrote:

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@kmyur wrote:

Hi everyone- I am a small business and am wondering if this new 1099 issuing for $600 sales is going to affect your business. Is it gross $600 or after fees? Thanks

---

Gross is reported to the IRS.  You need to be contemplating Federal tax, State tax, potential Self-employment tax, etc.

Unfortunately, none of this is "new".

There is a NEW reporting threshold for a 1099k.  Online revenue has always been potentially taxable. 

P.s.  these are online forums that are public and easily accessed potentially by anyone who wishes to peruse.  If I were an online auditor, I'd read here every day.  Especially as there are multiples of these threads on a regular basis.  Lol

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I once worked for a company that had a dedicated team that read forums and social media looking for anything that might be damaging to their reputation.

I imagine the IRS (and CRA) have a dedicated group of people who look for tax evaders online.

C.

[ziggylab]

What responses do you expect from posting "I cheat on my taxes - do you?".

[powell-memorabilia]

Well, he did throw “small business” into the equation.  Somehow, I don’t think that the IRS would give a pass to him based on that mere addition.

[justafemster]

The law isn't new, the REPORTING by 1099 is.  

Isn't going to affect anyone who's been following the LAW.  But it is going to out the tax evaders.  

[luckythewinner]

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@kmyur wrote:

Hi everyone- I am a small business and am wondering if this new 1099 issuing for $600 sales is going to affect your business. Is it gross $600 or after fees? Thanks

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At the top of every eBay page is a "Help & Contact" link. If you click that and search for "1099", it will bring you to a page that explains all about the 1099-K form(s) you will receive. 

It is going to affect my business in the least, because I have always reported my income as I have always been obligated to.