Author Topic: Ebay to start issuing 1099's to sellers in 2022  (Read 470 times)

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Online Paul_Maul

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Re: Ebay to start issuing 1099's to sellers in 2022
« Reply #35 on: January 04, 2022, 04:23:23 AM »
The IRS would not get indvidual transaction listing. The IRS would get total amount and then obviously go after big fish ie someone makes $100k per year and somehow has $200k worth of bank deposits and claims $0 is income, it is worth a look.  Could be all grandma reinbursements for grocery shopping or more likely a flow of monies that were subject to tax.  Actuarians will come up with models to earmark amounts and ratios that draw attention.  So given there is a problem of tax evaders, what is your solution?  Let's not be critics without being authors.  Perhaps you feel the problem doesn't exist at all?

If those are the only people they are going to go after, make the threshold $100,000.

There is a gift tax exemption of $16,000 for a given person. There is no way yearly activity less than that could be considered a red flag.
« Last Edit: January 04, 2022, 04:25:14 AM by Paul_Maul »

Online Paul_Maul

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Re: Ebay to start issuing 1099's to sellers in 2022
« Reply #36 on: January 04, 2022, 07:03:51 AM »
There is also a problem with crime. Should we stop everyone on the street and grill them about their daily activities to increase the chances of catching the few bad apples? Democrats used to be the voices raised against this type of arbitrary behavior by the authorities. What ever happened to civil libertarians?

Offline moron_chicken

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Re: Ebay to start issuing 1099's to sellers in 2022
« Reply #37 on: January 04, 2022, 07:56:45 AM »
There is also a problem with crime. Should we stop everyone on the street and grill them about their daily activities to increase the chances of catching the few bad apples? Democrats used to be the voices raised against this type of arbitrary behavior by the authorities. What ever happened to civil libertarians?

Bingo. 

And let's not stop at that, let's go through their cell phones, text message, email too. 

Offline moron_chicken

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Re: Ebay to start issuing 1099's to sellers in 2022
« Reply #38 on: January 04, 2022, 08:01:01 AM »

This will enable going after people who work for cash, and/or who wire money to family members in other countries.  I wonder what constituent base that will hurt? 

Offline NationalSpittoon

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Re: Ebay to start issuing 1099's to sellers in 2022
« Reply #39 on: January 04, 2022, 01:41:58 PM »
There is also a problem with crime. Should we stop everyone on the street and grill them about their daily activities to increase the chances of catching the few bad apples? Democrats used to be the voices raised against this type of arbitrary behavior by the authorities. What ever happened to civil libertarians?

Yes, this is required. Except for illegal immigrants. Theyíre fine.

This issue isnít about tax evasion, itís about the government in the first place. They should not be taking our money (at least not in this magnitude), nor should they be in our business at all!

Offline g.u.e.s.t.

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Re: Ebay to start issuing 1099's to sellers in 2022
« Reply #40 on: January 04, 2022, 02:57:24 PM »
Pretty impressive to blame Trump for something the Biden admin is pushing. The spying on bank account activity is actually part of the Build Back Better bill.

That's exactly right. This IRS overreach is on Biden's watch. Build Back Broke. Not sure why they want even more of our money since they claim these trillion dollar bills are already paid for. Record high inflation is a form of taxation too.

Offline g.u.e.s.t.

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Re: Ebay to start issuing 1099's to sellers in 2022
« Reply #41 on: January 04, 2022, 02:59:42 PM »
The Biden family has been a corrupt crime family making millions off the taxpayers for decades, and now Biden wants the IRS to spy on Americans and have access to their measly checking accounts...  what's next Brown Shirts pounding on your door making sure you don't have any money under your bed or too much food in storage?  Yep, it's coming...

Yep. And we thought Jimmy Carter was bad.

Offline g.u.e.s.t.

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Re: Ebay to start issuing 1099's to sellers in 2022
« Reply #42 on: January 04, 2022, 03:01:53 PM »
What is the new law that the Biden admin has put forth to do this?   Did it take a new law?   How do we know Biden is behind this?   Maybe the IRS decided on their own.   I do know that Trump wanted tax breaks for billionaires.   He bragged that it was the best thing his administration did.

Read the build back better bill. It's in there. The IRS is not self governing and doesn't decide what to do on their own.

Offline BattleCaps

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Re: Ebay to start issuing 1099's to sellers in 2022
« Reply #43 on: January 04, 2022, 03:24:35 PM »
The tax thing is really just not that big of a deal folks. Saying your done selling on ebay because you have to pay taxes is like saying you refuse to work because you do not want to pay taxes. Yes it sucks I agree but what are you going to do about it?
 I have a seperate bank account for ebay. They deposit my proceeds into that account. All of my shipping comes out of that account.
And yes, you can deduct the "cost of goods" from every sale. Of course you can. No different than any other business. You get a 1099 stating you made $28,000 on ebay last year...you deduct a portion of your cell phone bill, your internet, your space in your house for your office and storage of inventory, your milage on your car to and from garage sales and the post office and such, your COST OF GOODS, your SHIPPING PAID (because ebay counts the shipping you receive from a buyer as income)
and other expenses like boxes, bubble wrap, Rollo Printer, Ring Light......and whatever.....now your taxable income is down to say $12,000.........
Set aside 25% of your sales income for taxes to be safe......it is what it is........still doable.....still fun....

Let me first say that I am not an accountant.

  You are correct that you can deduct your expenses if you classify yourself as a business and not a hobby. The IRS has a distinction for both. If you classify yourself as a business and take deductions on a Schedule C, you will have to pay Social Security and FUTA taxes as well.  As a hobbyist, you can't deduct supplies and travel expenses. I'm sure there are plenty of articles online explaining it, so I would recommend anyone to do that.

  This is going to be one gigantic mess for many people at the end of this year. For most, it won't be worth the hassle.

  The only good thing about it, is that this will crush most of the 'flipper' market that has gotten very large in the past couple of years.

Offline bandaches

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Re: Ebay to start issuing 1099's to sellers in 2022
« Reply #44 on: January 05, 2022, 03:04:24 PM »
If those are the only people they are going to go after, make the threshold $100,000.

There is a gift tax exemption of $16,000 for a given person. There is no way yearly activity less than that could be considered a red flag.
Who said the IRS is gonna pay attention to anybody below a 100000?   I don't like the intrusion but I'm not losing sleep over it, I have much more pressing concerns in day to day life than worrying about something like this. because I know how inept the IRS is from first hand experience.
Contact me at bandaches@yahoo.com as I have tons of wackys for sale!  Visit my website http://www.wackypackage.com/

 

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