Different 1099. That 1099 is if you at someone for work more than $600. The 1099-K means you’ve received $600 or more in payments.
“Different 1099. That 1099 is if you at someone for work more than $600. The 1099-K means you’ve received $600 or more in payments.”
Sincerely, I hope you can answer this. eBay will send me a 1099-K for about $1,000 I got from reselling hobby stuff.
There is no distinction, as far as I know, between this ‘income’ and the ‘income’ I have to claim on an IRA withdrawal. Setting aside the personal deduction and all that, doesn’t this place this income in the same basket, and subject to regular income tax? The IRS is getting a form with your SS or tax ID on it, no problem matching it up. If you DON’T claim it, it’s obvious. It’s up to you to do the work of filing schedule C or whatever is required to show profit/loss.
My point is that this isn’t something you can blow off, it’s right under their nose if they want to go after it. Or, you can just put it down as income.