Cost basis - Warning tax related topic

[Exhibitman]

Originally Posted by Stupe the Second Sacker

Why do people keep clinging to this irrelevent justification like a life preserver? Is anyone in this thread calling the law new?

The sanctimonious comments I see repeated here regarding tax cheats are too much. Who are the "people" of which you speak? John Q. Collector who churns the bottom of his collection and occasionaly makes a few bucks or the Cash is King dealers that fill every show you go to? This new enforcement only nets the former and does nothing about the latter.

That argument is entirely based on a logical fallacy: "two wrongs make a right." Everyone is supposed to pay the taxes they owe. You cannot justify one tax cheat by pointing out another one you think is worse.

Also, you have your facts wrong. The 1099 threshold lowering law is new; it was passed in 2021 to commence 1/1/22 and was kicked over a year after intense lobbying by the facilitated marketplace vendors like eBay who will have to prepare the 1099s.

More to the point, whether the 1099 law is new or not is irrelevant. As the CPAs here have repeatedly pointed out, the 1099 is merely a mechanism for the IRS to check compliance with existing tax reporting requirements. The underlying obligation to declare taxable income has been around for over a hundred years.

Calling people you disagree with sanctimonious is not an argument, it is an ad hominem attack.

The fact you clearly do not want to acknowledge is that only someone who has not been reporting his card-related income will get stung by the 1099 rules. Anyone who declares his income and pays his taxes already has no need to be concerned with the 1099 threshold changes. I got a 1099 in 2021 under the old threshold rules. Meant nothing to me because I maintain books for my card selling activity and report my income.