Ebay tax reporting drops from $20,000 to $600

[Orioles1954]

I sell about 30-40K per year on ebay (basically a part-time job) and have always reported them on my taxes so it's really no big deal to me.

[Touch'EmAll]

I sold over $20.k on ebay, 2021. I go to the ebay Account area, see the "tax" section, and see where the 1099-k should be. Just checked today Jan. 26th, still nothing, no 1099-k document showing. I also have not received any ebay tax document in the mail. Have you all yet received or can print the 1099-k from ebay site?

[BobC]

Originally Posted by Touch'EmAll

I sold over $20.k on ebay, 2021. I go to the ebay Account area, see the "tax" section, and see where the 1099-k should be. Just checked today Jan. 26th, still nothing, no 1099-k document showing. I also have not received any ebay tax document in the mail. Have you all yet received or can print the 1099-k from ebay site?

Did you also have 200 or more sales transactions? That was the second threshold to be met in 2021 for a 1099-K to be required.

And technically the 1099s aren't due till 1/31, so they still have a few days.

[Vegas Cards]

If we now have to pay taxes on gains, can I offset the gains against my losses from collecting in the '80s & '90s? I'm still smarting from my investment in Score and Donruss collector's sets.

[mrreality68]

Always more fun at eBay. But the reality government wants their money and if we make it we pay it

[Touch'EmAll]

Thanks for input on 200 sales threshold for 1099-k. Regardless, will report with the best numbers I have.

I have noticed a lack of available nice T206 HOFers and such on ebay - to a large degree has to be a result of PWCC gone. Now if the little guy also tapers back their selling of nice stuff, supply dries up.

[Directly]

Your Form 1099-K is now available. You can download it from the Taxes page.--I received and printed the 1099k form

This link may also be found on the Sellers Hub page under PAYMENTS.

[BobC]

Originally Posted by Vegas Cards

If we now have to pay taxes on gains, can I offset the gains against my losses from collecting in the '80s & '90s? I'm still smarting from my investment in Score and Donruss collector's sets.

Depends! Did you actually file tax returns back in the '80s and '90s reporting capital losses from the sales of all those Score and Donruss sets, and be sure to have had those sets treated and reported as investment assets, and not just as hobby collectibles? Assuming not, the answer would be no. And the statute of limitations to go back now and try to amend those returns passed decades ago. Sorry.

[Tabe]

Originally Posted by BobC

Depends! Did you actually file tax returns back in the '80s and '90s reporting capital losses from the sales of all those Score and Donruss sets, and be sure to have had those sets treated and reported as investment assets, and not just as hobby collectibles? Assuming not, the answer would be no. And the statute of limitations to go back now and try to amend those returns passed decades ago. Sorry.

Can you count as expenses the actual cost of an item? Say you buy a jersey for $60 and sell it for $75 ($67 after Ebay fees) - do you count $7 in income or $67 or $75?

[Dandor]

Originally Posted by Tabe

Can you count as expenses the actual cost of an item? Say you buy a jersey for $60 and sell it for $75 ($67 after Ebay fees) - do you count $7 in income or $67 or $75?

There is the ability for deductions on a Schedule C and Schedule D. It gets a bit messy with collected tax, but it is based on profit. The IRS expects this 1099-K income on a Schedule C, but you can do it as short/long term capital gains for collectibles on a schedule D. Losses can be carried forward as well. Believe it is a maximum of $3000 applied to the next tax year.

Just keep detailed records and give it to your CPA. By asking this question, my advice is for you not to attempt to do your own taxes.

[BobC]

Originally Posted by Tabe

Can you count as expenses the actual cost of an item? Say you buy a jersey for $60 and sell it for $75 ($67 after Ebay fees) - do you count $7 in income or $67 or $75?

It doesn't matter if you file as a dealer, investor, or collector, you are always able to deduct the actual tax basis cost of an item, plus the direct costs/fees in acquiring it, in determining the net taxable profit or gain from its sale.

[Eggoman]

Originally Posted by Orioles1954

I sell about 30-40K per year on ebay (basically a part-time job) and have always reported them on my taxes so it's really no big deal to me.

+1 - Sounds just like me.... No big deal...