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It's not a new tax. It's a new reporting requirement to force people selling thousands of dollars in flipped items per year to pay the taxes they've always owed, but never bothered to pay.
Most people flipping items online are just selling their old used stuff.The one actually making money are already reporting it for the most part.This is just more nonsense for regular people to deal with.
The PayPal requirement was already only a measly 20k.
People making 20k through eBay etc would be lucky to make 3,000 dollars on 20k in transactions after all expenses are accounted for.600 it a total joke.
Other civilized countries don't have a million pages of tax code the way we do.But in this country the tax preparation companies (H&R block,Jackson Hewitt etc )pay off our corrupt politicians to keep the tax codes complex to keep them rolling in money and we're the ones to suffer for it.
Guess the Build back better act won't be paid by the Billionaires, so the Democrats in all their wisdom need to go after small online businesses, mom and pop nail shops, hair salons, and the vast majority of small cash businesses who didn't lose their businesses under covid?
The losers in all this? Small businesses, the American public who will pay more, leading to even more inflation
The winners? Big companies and Millionaires who have the best Lawyers and tax Accountants. Politician's who get to administer who gets the money
Most people flipping items online are just selling their old used stuff.The one actually making money are already reporting it for the most part.This is just more nonsense for regular people to deal with.
The PayPal requirement was already only a measly 20k.
People making 20k through eBay etc would be lucky to make 3,000 dollars on 20k in transactions after all expenses are accounted for.600 it a total joke.
Other civilized countries don't have a million pages of tax code the way we do.But in this country the tax preparation companies (H&R block,Jackson Hewitt etc )pay off our corrupt politicians to keep the tax codes complex to keep them rolling in money and we're the ones to suffer for it.
If they are flipping items online, it's not their old used stuff. Flipping, by definition, means buying something, then selling it for a profit.
The tax codes relevant to this discussion are not complex.
It's not that you report it
It's that if you get audited and didn't report it (since you didnt actually make money) you'll have to prove you didn't make money.So if I sell something on eBay for 1000 dollars I'll have to prove I didn't actually profit 1000 dollars on it.Maybe I took a loss,maybe I made a few hundred but not 1000. So basically it's a pain to deal with with no upside.
Right, and that pain with no upside is going to discourage a lot of honest people who really are just cleaning out their closets/garages to not bother. (My comments have nothing to do with people running actual online businesses - most are already in compliance per Ebay's, Etsy's, etc. own research on the topic. Poshmark & Mercari are a bit different and offer almost all used clothing). The point is the gov't is now making you jump through hoops to sell your OWN used items.
Our leaders are so out of touch...$600/mo in sales would be more reasonable than a $600 cap over an entire year. That works out to $50/mo which is pocket change for the IRS to track. It's literally targeting the POOR and lower middle classes. Gross receipts will include shipping which has gone up dramatically too. I bought a pair of boots recently online and actual shipping for 3 lbs was $17.95!
I don't sell, I buy and I see how this will hurt me. Not ashamed to admit that I am on a tight budget and can find lots of clothing/accessory deals online. Especially since I am petite I can find new or nearly new items that were listed as someone gained a few pounds and the item no longer fits. I work full time (taxed to death already - no big refunds as I have no dependents) and can't spend hours going through Goodwill racks on my one day off. Online I just type in my size and scroll.
This is predominantly going to hurt WOMEN. (Oddly the group that Biden & Co. panders to but proves they have no clue about). Women can't easily just do what is suggested here and offload their used items on Craigslist & FB. It's not safe. Remember before online? Women with young children were being targeted by wackos when selling their used baby clothes. Meeting even in a public place resulted in a pregnant woman having her baby cut out of her. No thanks.
Well, that's my long rant for anyone who thinks this won't be a big deal. I will end with this. If the IRS wants to "get busy" here's a start below from this year...WTH is this? When are Americans going to quit squabbling amongst themselves over the minutiae and band together to get relief from the very large and very real injustices? This is just one.
At least 55 of America’s biggest companies paid no federal taxes on billions in profits, study finds
So you are violating the law by paying for services under the table right thereby letting him avoid taxes?
I don't get a tax deduction for filing the paperwork. Up to him to self report or don't; isn't my problem either way.
Quote:
Originally Posted by xray731
Please - what nonsense - I'm calling pout a poster who (1) knows it all - (2)believes he does all the right things and(3) then pays someone under the table. Of course I know that it's done all the time and no one gets caught by the Feds. I'm pointing out the (4)hypocrisy of the left - quit defending it. And I'm a dudette bubba.
First off dudette...
(1) That charge is true. I do know it all.
(2) I never said I do all the right things. I've openly talked about a large portion of my income comes from drugs. I'm sure the FEDs just love me.
(3) What I did isn't paying anyone under the table. He provided a service; he wasn't employed.
(4) This thread has nothing to do with the left, or right. Just a bunch of dense skulls that cannot comprehend.
Quote:
Originally Posted by djohnslaw
10,000 doesn't trigger reporting for online transfers currently.
It's not a cash deposit.
Quote:
Originally Posted by djohnslaw
Most people flipping items online are just selling their old used stuff.The one actually making money are already reporting it for the most part.This is just more nonsense for regular people to deal with.
The PayPal requirement was already only a measly 20k.
People making 20k through eBay etc would be lucky to make 3,000 dollars on 20k in transactions after all expenses are accounted for.600 it a total joke.
Other civilized countries don't have a million pages of tax code the way we do.But in this country the tax preparation companies (H&R block,Jackson Hewitt etc )pay off our corrupt politicians to keep the tax codes complex to keep them rolling in money and we're the ones to suffer for it.
Profit doesn't matter.
See that landscaper mowing the office park down the road?
He'll get a 1099 at the end of the year for everything the business paid him. It's not all profit.
You're being dramatic with the million pages. A few years ago it was 2,600 pages long. Most of us can do our own taxes. We just choose not to do so. American's love to farm out work and then complain about costs; just look at food delivery lately.
How about just declaring the difference in the amount you paid vs what you sold if for as a "charitable deduction"?
Or just send it all to Goodwill.
IIRC when you donate a used pair of jeans you might get a couple bucks for at a garage sale or you can get a deduction of fair market value that you purchased it at. Depending on your finances, might be better off than sitting out there all day while looky Lous browse and you bring in $20 for the day.
Right, and that pain with no upside is going to discourage a lot of honest people who really are just cleaning out their closets/garages to not bother. (My comments have nothing to do with people running actual online businesses - most are already in compliance per Ebay's, Etsy's, etc. own research on the topic. Poshmark & Mercari are a bit different and offer almost all used clothing). The point is the gov't is now making you jump through hoops to sell your OWN used items.
Our leaders are so out of touch...$600/mo in sales would be more reasonable than a $600 cap over an entire year. That works out to $50/mo which is pocket change for the IRS to track. It's literally targeting the POOR and lower middle classes. Gross receipts will include shipping which has gone up dramatically too. I bought a pair of boots recently online and actual shipping for 3 lbs was $17.95!
I don't sell, I buy and I see how this will hurt me. Not ashamed to admit that I am on a tight budget and can find lots of clothing/accessory deals online. Especially since I am petite I can find new or nearly new items that were listed as someone gained a few pounds and the item no longer fits. I work full time (taxed to death already - no big refunds as I have no dependents) and can't spend hours going through Goodwill racks on my one day off. Online I just type in my size and scroll.
This is predominantly going to hurt WOMEN. (Oddly the group that Biden & Co. panders to but proves they have no clue about). Women can't easily just do what is suggested here and offload their used items on Craigslist & FB. It's not safe. Remember before online? Women with young children were being targeted by wackos when selling their used baby clothes. Meeting even in a public place resulted in a pregnant woman having her baby cut out of her. No thanks.
Well, that's my long rant for anyone who thinks this won't be a big deal. I will end with this. If the IRS wants to "get busy" here's a start below from this year...WTH is this? When are Americans going to quit squabbling amongst themselves over the minutiae and band together to get relief from the very large and very real injustices? This is just one.
At least 55 of America’s biggest companies paid no federal taxes on billions in profits, study finds
Your post is so true, and unfortunately Americans smack at each other instead of the real white collar crimes that are legal and hurt us all. So sad. To take this country back for all would mean to get the lobbyists out of our politician's pockets, campaign reform, and no more senators deciding their own pay and that it lasts FOREVER if in office for a few short years.
We're ALL BEING HAD, unless we're filthy rich and one of them.
Guess the Build back better act won't be paid by the Billionaires, so the Democrats in all their wisdom need to go after small online businesses, mom and pop nail shops, hair salons, and the vast majority of small cash businesses who didn't lose their businesses under covid?
The losers in all this? Small businesses, the American public who will pay more, leading to even more inflation
The winners? Big companies and Millionaires who have the best Lawyers and tax Accountants. Politician's who get to administer who gets the money
I don't feel sorry for "YouTube influencers" who travel the world and are compensated with free trips and other products in addition to "sponsoring" their channel. I would like to know if they are declaring all those transactions as "income" and paying their taxes.
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No thanks.
