Bros...I thought the reporting threshold for 2024 was gonna be $5000?
>>11216808Then you're a moron, it was always going to be $600
Hasn't it been $600 for a couple years already? Ebay has been automatically sending out forms for a while now
>>11216834>>11216851Dumbasses.https://blog.taxact.com/new-form-1099-k-reporting-thresholds/
>>11216866>American """Rescue""" Plan
I don't understand the "quarterly" thing? If I sell an action figure or two, then I have to file taxes... 4 times a year? Hmm?
>>11216808Man this is going to kill secondhand sellers on eBay even more. First time someone gets slapped with a penalty for failing to report selling half a dozen toys they’re just gonna never bother again.
>>11216808>2024 was gonna be $5000>>11216851Anon's are getting shit confused.There are a number of 1099 forms. The $20K/$5k/$600 is for the 1099-K which is technically for on-line business income for more than 200 transactions via a third party seller (e.g. EBAY or even the people selling here via PAY PAL or even say VENMO, anything that is conducted on-line).YOU might have gotten a 1099-MISC for say selling 5-10 things worth say $200-400 in one annual year. >>11216890Technically, if you are earning non-employment income, you are supposed to be reporting it quarterly and be at minimum paying quarterly. You aren't filing taxes 4 times a year, you are potentially making payments 4 times a year. If you have no payments to make, you have nothing to worry about. If you should have made two payments in 2023 and only made the one, you probably have nothing to worry about. If you are really making a lot of money, you should be doing a rough estimate and paying something - it's just a payment, no your entire taxes.It's just like doing your regular taxes come April. You realize more was withheld that you will actually owe and you ask for a refund. OR you do actually owe something so you pay that when you file. Which is why IF it's a healthy chunk of cash, you should be doing SOMETHING.
>>11216808>>11216870america is so fucking jewish it hurts
>>11217237Same coin different side
>>11216910>technically for on-line business income for more than 200 transactionsI feel most people seem to ignore this part. People were bitching about having to claim sales over 600 bucks as if people who sold two or three expensive items would be screwed over. But if you're doing 200+ sales a year, that's not longer just casually selling stuff you own, that's a business. Also, wasn't it $600+ in profits? So if you bought something for 50 bucks, and sold it for 50 bucks, it wouldn't count towards that 600? I haven't done any selling of stuff online, but I'm getting to the point where I need money and space more then some of the stuff I dumped into storage, so I'm kinda curious as to how this would actually work.
>>11216808Just ignore it
>>11217302It's $600 in total sales, including the tax and any site fees presumably. Sell $600, make only $80 profit from that, you'll still be bothered with a tax form. But you only have to actually pay up on the $80.Also it's $600 or 200 transactions, not both.
>>11217314Oh well that does indeed suck then. Thanks for the info!
IRS agent can't take a joke.
>>11216910So, since i'm making essentially teensy peanuts, the "paying quarterly" is simply me telling what I earned each quarter when I do my annual April taxes? Or are there some forms I'm supposed to be sending them every quarter to inform them I made $5 on an action figure sale?
>>11217602Damn you have DRUNK drunk the kool-aid, huhl
>>11217320>So if you bought something for 50 bucks, and sold it for 50 bucks, it wouldn't count towards that 600?Income is income, so what you need to do when you WRITE UP your income tax forms is claim that you had expenses in the amount of whatever it was that the toys costs.That's how someone like Orange Jesus was able to go for more than a decade without paying taxes on income, he was claiming losses from his bankruptcies and real estate properties that didn't pan out, or were excessively borrowed against, etc. You probably don't keep your receipts but you will want to make sure you have documentation, so say a bank statement that shows $200 at a Wak Mart or at Amazon where you can point and say $50 of that transaction was a toy you sold, and if you're only income is $50, you report "0" final income and pay no taxes, assuming you only sold that $50 toy in this example.>>11217716I'm not an accountant, pal. There is a quarterly form which I believe you can find on line and should be 1040-ES Estimated Tax or somethng like that.HOWEVER, you can also have your employer WITHHOLD more every quarter and take care of that. Let's say you sold $550 in toys this year and think you will manage that or more next year, and the tax on that is $50, you can ask your employer to withhold an extra $10 over each quarter (they have payroll services they use that will calculate how much per paycheck to come to $10 over three months, so you can just tell them $XX per quarter). And that will cover. The IRS guidance specifically says you can do it this way but many people do not, prefer to have their money today versus a potential refund come April.
>>11217314Sounds like theft.
You realize you can literally just... NOT do your taxes, right? And there are no consequences. They can't do anything. This is real life, not a fucking television show. The "IRS" isn't gonna come after you like a fucking sitcom.
>>11217771You'd be surprised how often tax fraud and tax evasion both get prosecuted. Even a vague glance at government and corporate right now will tell you things are getting more desperate behind the scenes, too. They may yet start tracking down every last red cent.
>>11217314Its not that simple. You have to keep receipts on literally everything you have ever bought and sold. Its a nightmare. I don't know how toy sellers are even going to bother anymore . They might as well just go work at a corporation instead. They would have to do a lot less book keeping
>>11217771>>11217777Real talk, the IRS doesn't go after people who commit tax fraud but make under a certain amount of money. I think it's like like $75K a year or something like that, but apparently, if you make less than that, it becomes too expensive and not worth the expense to the IRS to go after you.
>>11216808I remember I had a nice little side hustle in 2020-2021 making a few thousand extra a year and clearing up space in the house only to get hit with this bullshit in 2022. I started doing the bookkeeping using a spreadsheet, tracking gross sale, ebay fee, transaction fee, shipping cost, cost of item, and overall profit after deductions for each item. The $600 threshold ended up getting delayed that year and the next, but it was such a major hassle it put me off selling.
>>11217810That's why Kamala had a hand in hiring so many more IRS agents. It's no longer about whether the "juice is worth the squeeze" going after the little guys, it's about sending the message that everyone needs to file or live in fear. They'll spend today to hopefully not have to spend as much later.
>>11218124Don't forget the squad of Bigfoots she hired to play enforcers and the tiny internet fairies that watch all your transactions.
>>11217771Seen this shit happen with a formerly well off gentleman in my area>owned 3 businesses>owned multiple properties>essentially hadn't paid taxes in years>IRS came in like a wrecking ball and seized almost all his shit
>>11218342Mind you he was a huge prick, had one of his own businesses robbed (coin and jewelry shop) so he could claim insurance on all his stolen goods, burnt down a property for insurance, list goes on
>>11218342Good thing I'm a NEET.
