IRS warns taxpayers about new $600 threshold for third-party payment reporting

CNBC ^

[StAnDeliver]

Ignore it. The odds are with you, just as they are with an Arizona or Pennsylvania voter voting in-person on Election Day and then dropping their mail-in ballot at the main post office to be postmarked and counted.

Odds of getting caught: 0.001% < / sar >

[Eleutheria5]

It behooves you to be long gone before that day. Start making plans.

[freedom1st]

The government wants its unfair share of the gig economy.

[God luvs America]

So- i get a 1099-K from stubhub for selling some of my Mets tickets. This means i can write off every and any tickets to Mets games i did not use.

If i get a 1099-K for $2000, i will deduct $2500 for the tickets.

[mass55th]

"It’s been $600 a year for YEARS!"

I've done online surveys for many years using e-Rewards. You earn a certain amount if you complete a survey, and a partial payment if your responses don't qualify you to complete the whole survey. You can use the reward money to purchase gift cards, or add points to your airline miles, or hotel rewards, magazine subscriptions. I have never received a 1099 form for any rewards I've earned, or used during all those years. Now all of a sudden, Dynata, LLC who runs e-Rewards has told me I have to file a W-9 form (tax identification number) with them so they can send me a 1099 form if I've gone over the $600 amount in 2022.

[Kaiser8408a]

I’ll bet The Biden Crime Family hides millions from taxation.

[buwaya]

The diff is, I think, that now Paypal has to send you a 1099.

So if your side thing is selling stuff from estate sales or storage lockers on ebay then you may have a problem.

[Fledermaus]

That’s funky. Those are usually considered discounts.

[Dapper 26]

Why can’t the newly aligned House just not fund these new IRS agents?

[TigerClaws]

87,000 new IRS agents.

Who did you think they’d target?

There’s also a new law a company (family business, small business, any business - except those excepted) will have to file to disclose ALL owners and the percentage they own.

More paperwork. More excuses to audit.

[Tolerance Sucks Rocks]

However, Congress slashed the limit as part of the American Rescue Plan Act of 2021, and a single transaction over $600 may now trigger the form.

You call that a rescue plan?

[Hostage]

Find a way to store value that can’t be electronically seized.

[MinorityRepublican]

The diff is, I think, that now Paypal has to send you a 1099.

How much is the tax if you send a PayPal with $600 in it?

[Husker24]

This is designed so they have an excuse to target ANY citizen, which will only apply to the Dems political opponents of course.

[Bonemaker]

FUIRS

[Scrambler Bob]

Buy a Skunk Farm, or maybe an Alligator Farm.

[Not_Who_U_Think]

I’ve brought this up to people in the financial world who had no idea.

In my case, I sold a couple of items on eBay this year, totalling over $600, and then this summer sold a small camper through Facebook, a total of about $4500, and I sold each item for less than I paid for it.

Both will be sending me a 1099-K. When I brought this up to one financial advisor, he said, ‘just file it as a capital loss’.

Well, that’s fine if you’re filling 1040 long form and can find enough deductions to claim it. But if you’re doing short form, that’s just income. And you will pay taxes on it... again.

[Hostage]

Fuel depot.

[bunkerhill7]

have em send it via western union or moneygram for cash pickup

[tired&retired]

Before 2022, businesses would generally receive a 1099-K tax form only when gross payments exceeded $20,000 for the year and the business conducted at least 200 transactions. As of the 2022 change in rules for the 1099-K, the gross payments threshold has been lowered to just over $600 for the year, and the transactions threshold no longer applies.