eBay

savwillsell09 · ‎11-23-2023

today 11/23/2023,no 1099's for this year and raising the threshold to 5K for next year,,,?

silverstatetreasureboxes · ‎11-23-2023

Well, not the way you put it. IRS is postponing the $600 reporting threshold for this year and possibly implementing a $5000 threshold for 2024.

There is several threads on this subject right now, just scan down.

dbfolks166mt · ‎11-23-2023

Depends on what state you live in. Anything could happen next year including additional state laws. Only thing known for sure is the Fed's delayed the new issuance threshold for this year but that does not apply to those states that have their own 1099 threshold issuance levels.

monroe67 · ‎11-23-2023

"@savwillsell09

Well, not the way you put it. IRS is postponing the $600 reporting threshold for this year and possibly implementing a $5000 threshold for 2024."

That word "report" and its variations "reporting, reports" etc. is still causing confusion among eBay sellers and the general public. Of course, the recent IRS announcement applies to many online marketplace payment processors and not only eBay, but because we are here in the eBay Community Forum, I'll keep only eBay in the context.

The announcement says that, for 2023, the IRS is postponing the requirement for eBay to report payments over $600.00.
For 2023, eBay does not have to tell the IRS (report to the IRS) any seller who received payments totaling less than $20,000.

The IRS Announcements and Fact Sheet(s) issued in the last few days do NOT tell taxpayers, individual eBay sellers, that they are allowed to just ignore the money they received from eBay sales when they sit down to do their tax returns after the first of the year. Indeed, there is one paragraph on the first page of the Fact Sheet that says precisely this:

"It's important to note that the higher threshold does not affect the actual tax law to report income on your tax return. All income, no matter the amount, is taxable unless it's excluded by law whether a Form 1099-K is sent or not."

savwillsell09 · ‎11-23-2023

thanks for clearing that up for us?

bryo_3145 · ‎11-23-2023

I could have sold more items this year.

12345jamesstamps · ‎11-23-2023

Its been delayed due to so many digital payment platforms.

Etsy, Postmark, Venmo, Pay Pal, Square, Zelle, eBay, Airbnb, Cash App and so on.

These digital payment platforms have to all be added.

Will it be $5000. next year? Hard to say. It's getting very complicated as the years roll by.

We are suppose to pay our taxes regardless of course.

bryo_3145 · ‎11-23-2023

This last statement at the bottom in red says it all. Even the last sentence.

bryo_3145 · ‎11-23-2023

"Just to think I wonder how many sellers that have not been paying taxes over the last 10 years or more."

"I'm sure the ebay inc. has to report their earnings. "They pay taxes."

"There is a track record of all the transactions that have occurred ever since the start of PayPal."

tobaccocardyahoo · ‎11-23-2023

The $5000 threshold may not be implemented. The legality of these IRS actions is in question.

The Supreme Court will be ruling on a case which may overturn the Chevron precedent which allows Federal agencies to modify LAWS. There is no law allowing the IRS to limit the 1099K requirement. If Chevron is overtuned, all of their actions relative to 1099K requirements may be illegal.

Follow the law which requires you reporting this income.

stephenmorgan · ‎11-23-2023

@tobaccocardyahoo wrote:
The $5000 threshold may not be implemented. The legality of these IRS actions is in question.

The Supreme Court will be ruling on a case which may overturn the Chevron precedent which allows Federal agencies to modify LAWS. There is no law allowing the IRS to limit the 1099K requirement. If Chevron is overtuned, all of their actions relative to 1099K requirements may be illegal.

Follow the law which requires you reporting this income.

The justices will decide whether to overturn the long-standing Chevron precedent, which holds that when Congress wrote a statute without a clear meaning, courts should defer to the federal agency applying the law, unless its directives were unreasonable.

I had the same question in that what authority did the IRS have to waiver or enforce the Law as Congress wrote it.