Not sure if you guys are aware but sneaked into one of those stimulus bills was this new reporting requirement for all cash apps to report any payments received that totals $600 or more in ONE YEAR! That amounts to $50/month. Or about 1/4 - 1/3 of an M90 these days. Regardless if you actually sold it at a loss, you will get a 1099k and you'd have to report it as income to the IRS. You could of course "prove" that you sold it at a loss if you have proof that you paid more for it, or you could offset some of the profits if you have receipts to show the improvements costed you money (labor is not allowed to be used to offset profit). This means if you get paid via PayPal, Venmo, eBay, Amazon, etc... you WILL get a 1099k if you received more than $600.
I recently got this email from eBay. They describe clearly what is happening. I believe it is affecting their business because small individual sellers are probably no longer selling (or don't know yet that they are getting a 1099k), although the fact that they are basically taking a 15% cut from your sales off the top is problematic too.
You can read more about this and how you can help contact your congress person and pressure them to reverse this stupid law. I just did it. Please consider doing this, today. This needs to be repealed or it will basically kill all hobby related economic activity if you often buy and sell used items, and I'm not just talking about eBay. If you sell HERE and take PayPal, YES it affects you. When you follow the following link, click on [contact congress] and eBay will mail a form to your lawmakers.
https://www.ebaymainstreet.com/issues/1099-k-federal-tax-reporting
Oh and if you did follow through with the contact congress deal, please leave a quick note.... I'm interested in seeing how many people actually are actually concerned with this. I would've installed a poll so you could simply click a button but didn't see a way to do that after the fact.
I recently got this email from eBay. They describe clearly what is happening. I believe it is affecting their business because small individual sellers are probably no longer selling (or don't know yet that they are getting a 1099k), although the fact that they are basically taking a 15% cut from your sales off the top is problematic too.
You can read more about this and how you can help contact your congress person and pressure them to reverse this stupid law. I just did it. Please consider doing this, today. This needs to be repealed or it will basically kill all hobby related economic activity if you often buy and sell used items, and I'm not just talking about eBay. If you sell HERE and take PayPal, YES it affects you. When you follow the following link, click on [contact congress] and eBay will mail a form to your lawmakers.
https://www.ebaymainstreet.com/issues/1099-k-federal-tax-reporting
Oh and if you did follow through with the contact congress deal, please leave a quick note.... I'm interested in seeing how many people actually are actually concerned with this. I would've installed a poll so you could simply click a button but didn't see a way to do that after the fact.
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