Like @jhb8426 said you’ll get a 1099 if you received more than $600 in G&S for Paypal, or a flat $600 for the other money service sites or $600+ in sales on eBay. I received two 1099’s last year. It was a giant pain. Sure you can count a loss, but you’ll need to have all your receipts to prove what you originally paid.
Arlo was one of the best concerts I’ve ever been to. Have seen him twice, and if the pandemic ever ends I hope to see him again.
What’s totally messed up is that I am like borderline on a tax bracket and it could legitimately bump me up a tax bracket and I don’t have enough to deduct to exceed the standard deductions . This new law is really careless. I would think they would have a way of safeguarding for recreational sellers .
Lol if anything this law was made to screw over the average American just like the majority of them 
Just for clarity, if you jump up a tax bracket only the income above the bracket step is taxed at the higher rate.
What about Venmo and their seller protection? I don’t know much about it, and I also know that they are owned by PayPal. Will using Venmo for sales trigger a 1099?
All of them will . You would need to do a friends and family transaction to avoid this .
This is good to know. Explaining to my wife why we jumped 10% on taxes because I was selling YoYos is a bit of a challenging LOL.
Does this law go for income that eventually builds up to $600? Not that I’m selling yoyos but just in general using Venmo and such with my friends for small transactions (like food, gas, etc), and if I happen to buy something off the BST
I think its just for goods and services type transactions. Friends and Family as well as , other friend to friend transactions on venmo should not be getting a 1099k as far as I know.
Here are some helpful videos I found
Right, it depends on the manner in which you received the money. To use PayPal terminology as an example: G&S would count, F&F would not.
The important part that I think people are ignoring is that you only pay taxes on profits. If you have a net loss, then there is no taxable income. But you still got to report that income regardless.
I found eBay’s FAQ helpful since they’re going to feel the brunt of this. But the info would generally apply to other platforms.
My big concern is documenting it to the IRS. PayPal is gonna 1099 no matter what and it is going to make it hard for me to document how much money I lost on each throw.
The other part to that for me is that I can hardly ever deduct because we never exceed the threshold. So for someone like me it goes straight to earned income
The new $600 threshold is delayed for another year.
Thank god. Now people can stop complaining when i offer to cover g&s fees rather than family and friends 
Just through next week though lol
It is only temporary. It will take effect for next year’s tax return.
The IRS isn’t getting 86000 new auditors for nothing. 
Thank goodness, it was gonna be hard explaining why I went to jail.
I didn’t pay my yoyo taxes, but I got a sweet OG Peak waiting for me at home when I get out of here.
This was posted today on Yahoo financial news>
Pretty much what Issac already mentioned…
I’m just posting this link to bring it to the top for those that missed this information<
Yeesh, I come back after a hiatus wondering if I could liquidate some of my bloated yo-yo collection to this tax nonsense…
