rmaynard 15,588 #1 Posted February 16, 2023 I just did my taxes and finally came to the realization that all of my profits are being eaten up by taxes now that the IRS is requiring all sales over $600 be reported. THEREFORE... Effective immediately I will no longer be selling on eBay or using PayPal to facilitate payments for brake linings. Please use the link provided on my VENDOR page to receive instructions on how to order and pay. Sorry for the inconvenience. 3 1 6 Share this post Link to post Share on other sites
Sparky-(Admin) 21,402 #2 Posted February 16, 2023 Will you be selling at the WH Show? I don’t need one right now but was planning to buy one at the show just to have in-stock. The one I bought from you and put on my plow tractor over 3 years ago has held up extremely well! Just a matter of time before another one of my tractors needs one swapped out. 1 Share this post Link to post Share on other sites
wallfish 17,078 #3 Posted February 16, 2023 The government / IRS actually suspended the 1099-K reporting but PayPal didn't care and sent them anyway. Once reported to the IRS like they did, now we're responsible for ALL of the tax liability unless you kept books and have evidence to the contrary. Screwed me too as I don't keep books on private sales but also except business payments on it. https://www.forbes.com/sites/ambergray-fenner/2022/12/23/after-senate-fails-to-change-law-irs-grants-reprieve-to-1099-k-filing-requirement/?sh=9d144e1754bc 4 Share this post Link to post Share on other sites
rmaynard 15,588 #4 Posted February 16, 2023 Yes, they will be at the show, just not on eBay. You can still buy them through RedSquare vendor, but payments won't be processed through PayPal. It's bad enough that eBay insists on charging everyone sales tax, but then they charge me a fee based on the total amount of the sale, product + sales tax + shipping. That amounts to 15%. Totally unfair to charge me a fee on shipping when I never see any of that money. Then since I sell over $600 worth of linings per year, they report it to the IRS who then charges me tax on my profit, plus I get both ends of self-employment taxes. It's just not worth it. 1 1 5 Share this post Link to post Share on other sites
rmaynard 15,588 #5 Posted February 16, 2023 (edited) 6 minutes ago, wallfish said: The government / IRS actually suspended the 1099-K reporting but PayPal didn't care and sent them anyway. Once reported to the IRS like they did, now we're responsible for ALL of the tax liability unless you kept books and have evidence to the contrary. Screwed me too as I don't keep books on private sales but also except business payments on it. https://www.forbes.com/sites/ambergray-fenner/2022/12/23/after-senate-fails-to-change-law-irs-grants-reprieve-to-1099-k-filing-requirement/?sh=9d144e1754bc I got a 1099K from both PayPal and eBay. If I got them, the IRS got them too. Edited February 16, 2023 by rmaynard Share this post Link to post Share on other sites
lynnmor 7,352 #6 Posted February 17, 2023 (edited) 3 hours ago, rmaynard said: Yes, they will be at the show, just not on eBay. You can still buy them through RedSquare vendor, but payments won't be processed through PayPal. It's bad enough that eBay insists on charging everyone sales tax, but then they charge me a fee based on the total amount of the sale, product + sales tax + shipping. That amounts to 15%. Totally unfair to charge me a fee on shipping when I never see any of that money. Then since I sell over $600 worth of linings per year, they report it to the IRS who then charges me tax on my profit, plus I get both ends of self-employment taxes. It's just not worth it. I did the same as you. I am not going to keep books, save receipts and fill out forms to show the gubbermint that I made no net profit. Yes, I can show zero profit and then be open to an audit. I suspect that there will be numerous hobby style small businesses throwing in the towel. Edited February 17, 2023 by nylyon Keep politics off the forum 1 1 Share this post Link to post Share on other sites
