eBay

mdes162nj · ‎03-08-2021

The new 1099 threshold of $600 on any amount of transactions in place of $20,000 and 200 transactions goes into effect the end of Dec 2021. Does any one know if it will apply to transactions made in 2021? Or will it apply to transactions starting in 2022?

superduty420 · ‎03-30-2021

Why would you assume it applies to 2021 sales as the announcement came after Jan 1st of 2021 The law is not applied that fast and is done at the start of calendar years.

That’s like saying a person who bought a car in January should pay more sales tax because in March they announced automobile taxes are going up.
Doesn’t work like that or people couldn’t operate a business not knowing what the immediate future holds for that calendar year

releasethekraken_1 · ‎03-30-2021

@superduty420 wrote:
Why would you assume it applies to 2021 sales as the announcement came after Jan 1st of 2021 The law is not applied that fast and is done at the start of calendar years.
That’s like saying a person who bought a car in January should pay more sales tax because in March they announced automobile taxes are going up.
Doesn’t work like that or people couldn’t operate a business not knowing what the immediate future holds for that calendar year

If you think that Congress couldn't add a reporting requirement for money processors (which is all this is) mid-year, you must not get out much. People operating their business already knew that they would have to report their income to the IRS EVERY YEAR whether or not they get a 1099k. Are you under the mistaken impression that people don't have to report their income unless they get the 1099k?

astralartist4 · ‎04-11-2021

I think many will end their ebay selling, rather than do extensive accounting.

barefoot_sunburnt · ‎04-12-2021

In 2019, I moved and bought a smaller house. As a result, I have a storage room crammed full of items I no longer have room for. eBay is my garage sale, and 98% of the items in my store are from my long term handbag collecting habit. I would guess I only have receipts for (maybe - at the most) 5%. I'm taking a loss on almost all of them. Aside from hitting the Way Back Machine and saving screenshots from like items being sold new, with tags to show the original prices... I'm at a loss how I would actually prove how much I spent. So I'll be selling what I can this year, and closing up shop. Sad, but I'm sure I'm just one of many who will decide to try real life yard sales (blech.) to quite literally clear my closets.

erri701 · ‎04-16-2021

"What I'll never figure out is why so many people vote for the people who give the big tax breaks to the big guys, and screw the little guys."

Well, people voted for the guy who claims to be for the little guys while screwing them over. This $600 threshold was imposed by Democrats.

All those big businesses you hate? They will be the only ones left on eBay soon enough.

erri701 · ‎04-16-2021

Cities do not require permits for "tax purposes". Also, people aren't claiming profits on personal garage sale items that they usually sell for a fraction of what they originally paid for those things.

This law has turned anyone that is selling over $600 on eBay into a business whether they like it or not. That has tax implications that will result in many people just paying the capital gains tax rate instead of itemize what little to no profits they may have made to not deal with the hassle. Better yet...they'll discover the hard way they owe taxes and never sell on eBay again. There are going to be a lot of surprised and angry people in 2023.

eBay will immediately become a place that is unwelcoming to people looking to get rid of used items they bought new years ago.

I'm going to find out how much this group pulls in revenue for eBay vs. the big businesses selling on this increasingly bad platform and consider shorting their stock.

divwido · ‎04-16-2021

1099 are issued for one calendar year only or, if you are incorporated, whatever year dates you choose. But it's always for 365 days.

Good Moms let you lick the Beaters.

Great Moms turn them off first.

erri701 · ‎04-16-2021

Found the statist in this group.

opal_right · ‎04-20-2021

If you are selling a personal item you can not sell it for a depreciated loss. Your cost basis would be either Fair Market Value if the item comes from your personal collection. If it's something that you inherited, was passed down, or you had from childhood, your cost basis is the Fair Market Value at the time you transfered it to your ebay store, not the value when you first aquired the item. Basically, your cost basis (not bases) would be Fair Market Value and would cancel out your payout, your net profit would be zero and there would be nothing to pay the IRS.

its4u.items · ‎04-21-2021

I for one have not had huge sales. However I have a 3500 sq. foot house plus a garage and things have piled up. I have used Ebay in lieu of a garage sale for quality used or even new unboxed items. I do not have most of the receipts but I have the stuff with no cost base. For me, this is unfortunate and I will go back to selling locally.

tiptopcrystals · ‎04-28-2021

What planet are you from??? It's NOT the "Trump" of the world that put this TAX INCREASE in place, it is the "Biden" of the world. Trump CUT taxes, Biden just increased federal tax rate / capital gains tax to about the highest on this planet. Fact check it for yourself, capital gains tax increase, federal tax increase. BTW history lesson, Reagan increased tax rate resulting in LESS revenue for the Fed, and Clinton cut tax rate, resulting in MORE revenue for the Fed. It's history, look that up too. So, it's not always a dem cut/ rep raise thing, but your reference to Trump is 100% wrong, fact check it!

releasethekraken_1 · ‎04-28-2021

@tiptopcrystals wrote:
What planet are you from??? It's NOT the "Trump" of the world that put this TAX INCREASE in place, it is the "Biden" of the world. Trump CUT taxes, Biden just increased federal tax rate / capital gains tax to about the highest on this planet. Fact check it for yourself, capital gains tax increase, federal tax increase. BTW history lesson, Reagan increased tax rate resulting in LESS revenue for the Fed, and Clinton cut tax rate, resulting in MORE revenue for the Fed. It's history, look that up too. So, it's not always a dem cut/ rep raise thing, but your reference to Trump is 100% wrong, fact check it!

tRUMP cut taxes for corporations and rich people. We're still waiting for that money to "trickle down", LOL.

The Federal income tax rate isn't increasing for anyone who's making less than $400k, exactly as promised. And with bigger child tax credit and other credits, the vast majority of Americans will see their income tax bill go down. Maybe if you listened to something besides Faux Nooz, you might have more of a clue.

antikae · ‎04-28-2021

Thank you for setting the record straight. It is very frustrating to hear all the misinformation.

slippinjimmy · ‎04-28-2021

@tiptopcrystals wrote:
What planet are you from??? It's NOT the "Trump" of the world that put this TAX INCREASE in place, it is the "Biden" of the world. Trump CUT taxes, Biden just increased federal tax rate / capital gains tax to about the highest on this planet. Fact check it for yourself, capital gains tax increase, federal tax increase. BTW history lesson, Reagan increased tax rate resulting in LESS revenue for the Fed, and Clinton cut tax rate, resulting in MORE revenue for the Fed. It's history, look that up too. So, it's not always a dem cut/ rep raise thing, but your reference to Trump is 100% wrong, fact check it!

It's only a tax increase for tax evaders. Those that lived up to the long standing legal requirements to report income are not seeing any increase at all.

dnasilver · ‎04-28-2021

You report Income, no income no reporting. The IRS does not allow you to write of the losses for selling personal items unless they were inherited and you have a cost basis at time of death or within a short time frame of death.