- This topic has 7 replies, 5 voices, and was last updated 5 years, 3 months ago by
.
-
Posts
-
-
I’m posting this in case there are people on the forum wondering why they didn’t receive any 1099 forms this year, despite having a fairly large reselling income.
According to GDBK, my gross revenue for last year is over $30k. This is well over the $20k threshold for triggering a 1099 from ebay, according to this help article:
https://www.ebay.com/help/selling/fees-credits-invoices/ebay-form-1099k?id=4794
However, I didn’t receive one. I believe it is because I was only in Managed Payments for half the year (around $15k), so I didn’t actually meet that threshold. Paypal also seems to have a $20k threshold, so I didn’t get a 1099 from them either. (If I’m incorrect in my reasoning here please let me know!).
It was news to me that the threshold is $20k. I always heard it being talked about here as $10k.
Can you tell I’m working on taxes today? 🙂
-
Its interesting this year because some sellers dont claim eBay profits if they dont get the 1099. So because many of us are half Managed Payments and half Paypal, I bet there will be lot of “free income” this year.
At a certain selling level, I get why people don’t claim the income. I know we would not have gotten mortgages to buy property if we hadn’t claimed our eBay income each year to show we had consistent income.
-
This is my first year filing taxes for ebay and so far it is daunting. I really admire those of you who just jumped into ebay as a lifestyle and as a main income source. I did do an online tax sellers academy which helped a lot, but now the nitty gritty process of filling out form (and the pressure from my husband to get moving, so we can file) is really stressing me out.
I have never received a 1099 from ebay or paypal past or present so I guess that may not happen until I grow my business more.
So I am with you @sonia working on those taxes!! I’m hoping at some point to make enough profits to hire an accountant to do them!
-
@CYC – I actually do have an accountant. But she is not a bookkeeper, so I have a long list of numbers to figure out that she asks me to provide, and that takes a bit of work on my end (though using GoDaddy bookkeeping helps a lot, despite having to stay on top of all the little issues that keep cropping up). She asks for all my 1099 forms, so it took a bit of head scratching before I could explain to her why I didn’t get one.
The first time I did ebay taxes was indeed daunting, so good luck! Feel free to ask questions here (with the caveat that the answers you receive will not be from accountants).
-
-
-
-
I didn’t get a 1099 this year either, although by my calculations I should have. I did wonder if the switch to managed payments had made it seem as though I didn’t meet the $20,000 threshold. I guess that was the case. However I reported my over $20,000 in eBay sales on my taxes even though I didn’t get a 1099.
Our old retail business was once involved in an IRS audit and when we asked why we were being audited it was explained to us that it was just a training exercise for new IRS agents. But I never ever want to go through that again! Paying our accountant to produce documents for the IRS agent cost us a fortune. Better safe than sorry.
-
- You must be logged in to reply to this topic.