modelguy2 Posted January 3, 2022 Share Posted January 3, 2022 Due to the American rescue act any 3rd party transactions (paypal etc>) are now subject to paying taxes on yearly transactions amounting to over $600 via a 1099K (?). All 3rd party companies will be required to file these reports. Sucks huh. Quote Link to post Share on other sites
Youngtiger1 Posted January 3, 2022 Share Posted January 3, 2022 (edited) So, if I sell kits and receive fund via PP then I become 3rd party? Edited January 3, 2022 by Youngtiger1 Quote Link to post Share on other sites
modelguy2 Posted January 3, 2022 Author Share Posted January 3, 2022 5 minutes ago, Youngtiger1 said: So, if I sell kits and receive fund via PP then I become 3rd party? PayPal is the 3rd party Quote Link to post Share on other sites
Helmsman Posted January 3, 2022 Share Posted January 3, 2022 (edited) Are you saying that the whole amount of these transactions is now considered as taxable income? Or the regular rules (selling price less acquiring price) apply? Edited January 3, 2022 by Helmsman Quote Link to post Share on other sites
Cloud in the Wind Posted January 3, 2022 Share Posted January 3, 2022 There's a lot to unpack here for venders and small businesses especially in craft industries like ours but here's a reasonable quick and dirty article https://www.forbes.com/advisor/taxes/cash-apps-to-report-payments-of-600-or-more/ Quote Link to post Share on other sites
Geoff M Posted January 3, 2022 Share Posted January 3, 2022 Thanks for the heads up! I probably won't hit $600 this year. Geoff M Quote Link to post Share on other sites
FireFlyer Posted January 4, 2022 Share Posted January 4, 2022 1 hour ago, Geoff M said: Thanks for the heads up! I probably won't hit $600 this year. Geoff M If I keep buying from you.... you might.... lol Quote Link to post Share on other sites
Rod D Posted January 9, 2022 Share Posted January 9, 2022 Honestly, lets just go back to getting USPS money orders and sending payments via the mail. A long time ago when this "selling online" concept sounded really good, I knew someday the government would find a way to get their hands into it. Quote Link to post Share on other sites
Scott Smith Posted January 11, 2022 Share Posted January 11, 2022 On 1/9/2022 at 5:52 PM, Rod D said: Honestly, lets just go back to getting USPS money orders and sending payments via the mail. A long time ago when this "selling online" concept sounded really good, I knew someday the government would find a way to get their hands into it. Been saying it for years. Just wait until EV sales pick up and gas tax revenue drops off. Here’s my prediction of what’s coming. Mileage tax to start. Probably have to go by a revenue office to have mileage documented or it will automatically (via satellite like on star) be reported back to the car manufacturer or gov. agency and you’ll get a tax document sent to you. Dedicated charging stations at home will be required and hooked up to a separate power meter provided by power company and that power will be taxed at a much higher rate. Don’t want to install one? Well you’re going to pay a lot more for taxes on the home rate if don’t have a car meter on site. And trust me on this, power company will want a piece of that slowly disappearing $3.00+ per gallon gas and those meters will be priced at a much higher kilowatt rate, Don’t own a home and you rent? Yea, feds will mandate these regulated charge stations get installed at all rental properties with one for each parking spot. Now the question is, are they required to provide the huge diesel generator because the grid can’t handle it? Quote Link to post Share on other sites
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