Probably. We buy and sell on eBay via PayPal. They have a running tally on what we received from sales, and ran up over $1000 in sales over the last couple months. They sent us a 1099-K, and then soon sent a letter telling us to ignore it and that the info was not sent to the IRS. However, this article says otherwise, that we'll be hit by the IRS next year for this year's sales over $600.
Problem is, that those "profits" are not profits, they ignore the fact that we originally paid out money for those items and invested our labor in storing, packaging and handling the sales. Any real profit margins, if any, are slim.
Thanks for answering.
As an aside, feral government spending is completely decoupled from tax revenue.
They spend whatever they want regardless of tax revenue.
The only purposes of taxes appears to be punishment of the people they hate.
invested our labor in storing, packaging and handling the salesLOL
YOUR labor is not tax deductible, nor is it an "investment".
"packaging" and "handling" is only deductible if you paid someone to do it or for packaging materials.
The cost of "storing" is only deductible if you paid to store it.
It's very simple. It's called COST of goods sold.
You didn't really think you could deduct your own labor from your own profit did you?