be aware of IRS change to selling items via Ebay, Paypal and Venmo and other seller webpages

[desoto1939]

I have attached an information sheet that I received from Pay Pal regarding the dollar amount of sales that will be reported to the IRS for 2025, 2026 and 2027.

 

So of the biggest sellers might get hit with a 1099-k form.

 

SO make sure you track your sales, the cost of each item that initially it cost you, travel cost and any other expenses to purchase the item along with postage to ship the item food and also lodging cost. Like traveling to Hershey, the cost of a vendor site, etc.

 

The Fed Gov't needs money so they are going after every $$$$$$$$ than they can get their hands on.

 

So starting in 2025 I would suggest that you only deal in cash, money orders or personal check or a bank check.

 

Do you own research on this information

 

Rich hartung.

[Ivan_B]

If you sell stuff, it is generally understood that you are expected to report it as part of your income, just as you would do with your regular W2s (for the working folks). Even if its cash. 😉

[desoto1939]

I agree. But how many people here have yard sales and only do cash sales.  So in the same vein this should also be counted as income.

 

I can say that most home owners have done a yard sale or a community yard sale.

 

Rich Hartung

[Young Ed]

This has been in the works for a few years. I do think it's ridiculous that they are going down to this level. eBay had an email out about it a few weeks ago where you could email your representative to complain 

[Plymouthy Adams]

cost of doing business...seller or buyer.......I pay sales tax and every purchase made....it would pain me to no end to think they are not forwarding these taxes to the property collection agency of the government.   Wait until the venues like your Hershey event is FORCED to divulge every sellers address that rented a space and appropriate tax forms dispensed.   And, the walls start crumbling down....

[desoto1939]

47 minutes ago, Plymouthy Adams said:

cost of doing business...seller or buyer.......I pay sales tax and every purchase made....it would pain me to no end to think they are not forwarding these taxes to the property collection agency of the government.   Wait until the venues like your Hershey event is FORCED to divulge every sellers address that rented a space and appropriate tax forms dispensed.   And, the walls start crumbling down....

when you register for the Hershey event they remind you that everyone should have a PA sales tax number and that you should write your PA sale Tax id number on the registration form.  I have know that the PA revenue has been at Hershey but I think over the years they go after the real big venders that make their living off of selling parts such as Cocker tires and other big venders.

 

If you do not have a visible license they then can shut you down or ask that you file a report on what you sold.  I know most small time venders do not charge PA 6% sales tax.

 

Rich Hartung

[Plymouthy Adams]

I visualize that large event such as Hershey or any other established annual event will have an increase of on the ground up close and personal awareness (AGENTS IN PLACE) in the venders face trickling down to the once every so many years sellers of project residue and such clearing a shop or garage.  Not just a form presented with the registration package.  When you have a motto that could well be:  "we have what it takes to take what you have"  At one time small events like at a flea market or the yard sale of an individual was never considered substantial source of revenue for the tax collector....but today in the face of larger government at every level, the tax man cometh.   This is not a political statement it is merely business.

Edited Saturday at 06:06 PM by Plymouthy Adams

[kencombs]

Everyone should read the IRS info on this.    Some have interpreted it to mean that you will be required to pay taxes on the 1099K figure,

 

Maybe, maybe not, depending on the NET of the sale.

 

Good reading here

 

https://www.irs.gov/businesses/what-to-do-with-form-1099-k

 

Nothing is really new, sales less cost of sales is taxable.  

[Ulu]

We just inflated a whole industry of people who move legal paper and digital numbers around, at a big net loss.