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W_HAMILTON

(9,713 posts)

45. It's not making up what you actually paid.

Thu Dec 29, 2022, 12:04 PM

Dec 2022

Lying on your taxes is a crime, you are surely aware of that, yes?

A reasonable estimate of the cost you paid is just that. No one is going to expect you to maintain records for minor items and the IRS is not going to hound you for a receipt of a minor item you bought decades ago and decided to sell on eBay.

Furthermore, you realize that this is something you should have been doing all along, in terms of reporting a profit on something you sell, yes? But odds are that most items people buy depreciate in value over time and are not usually sold for a profit. The only difference now is that companies will be required to report transactions totaling over a certain amount so that people don't skirt around the rules already in place in terms of reporting taxable transactions.

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well, well! IRS has withdrawn the requirement of reporting $600 for selling your old stuff [View all] Grasswire2 Dec 2022 OP

Delaying. Not withdrawing. SheltieLover Dec 2022 #1

yeah, but it will never come back. Grasswire2 Dec 2022 #3

They should just put a national sales tax on it and save $Billions in CPA Fees for everyone bucolic_frolic Dec 2022 #2

"extra tax return calculations to prove the event wasn't taxable" - how DO you prove a negative? bucolic_frolic Dec 2022 #4

Pretty easily, actually. W_HAMILTON Dec 2022 #33

How do you prove you bought something... ret5hd Dec 2022 #37

Once again, pretty easily. W_HAMILTON Dec 2022 #38

But you sell it on eBay and get "dinged" (whatever term you would use)... ret5hd Dec 2022 #39

You report it on your taxes like you would other similar transactions. W_HAMILTON Dec 2022 #40

So just make up what you actually paid in order that you never show a profit? MichMan Dec 2022 #44

It's not making up what you actually paid. W_HAMILTON Dec 2022 #45

It says they are delaying it Meowmee Dec 2022 #5

Jesus, even so, $600? FFS, nickle and diming the masses intrepidity Dec 2022 #6

The IRS is afraid to go after the rich as that cost them too much money yaesu Dec 2022 #15

$600 is big money to me. Kaleva Dec 2022 #16

The amt of taxes on $600 is not much LeftInTX Dec 2022 #26

That $600 if declared as income would generally be subject to 15.4% Self Employment kelly1mm Dec 2022 #27

Delay, indeed, digging more money out of the little people. Chainfire Dec 2022 #7

K&R!!!!! Going after little people is absurd. And letting billionaires roll in millions. RKP5637 Dec 2022 #9

It passed both the House and the Senate and was signed into law MichMan Dec 2022 #10

And it's still absurd! n/t RKP5637 Dec 2022 #11

No. Igel Dec 2022 #42

Weeks before the bill was actually passed, there were rumors & complaints it was in there. MichMan Dec 2022 #43

It doesn't affect little people Kaleva Dec 2022 #18

... but if one was selling a little bit on eBay, for example, used stuff, I guess you have to RKP5637 Dec 2022 #22

How can the IRS just decide to unilaterally ignore a law passed by Congress? MichMan Dec 2022 #8

My guess is that the law directs the IRS to develop a rule tritsofme Dec 2022 #21

More proof - deal in cash whenever you can bucolic_frolic Dec 2022 #12

Meanwhile, Dumpy Boy and many corporations pay just about nothing judesedit Dec 2022 #13

Not just pay nothing but he gets huge refunds. n/t Yavin4 Dec 2022 #14

You're right about that judesedit Dec 2022 #41

Many items on EBay are sold for less than their original purchase price Sanity Claws Dec 2022 #17

It is so difficult dealing with used merchandise Shermann Dec 2022 #19

Small business tax cheats get let off the hook again. mathematic Dec 2022 #20

Those advantages might win small businesses a few battles here and there Shermann Dec 2022 #23

If I Rebl2 Dec 2022 #24

Sales taxes and income taxes are totally separate. nt kelly1mm Dec 2022 #28

I know Rebl2 Dec 2022 #31

Good. I sold one of my Renaissance gown ensembles... ProudMNDemocrat Dec 2022 #25

yes, and PayPal is a mandated reporter and will send a 1099 to you, likely. Grasswire2 Dec 2022 #29

Are you sure about that? sl8 Dec 2022 #32

read the law as it was. $600 in a month triggers it, afaik. Grasswire2 Dec 2022 #34

"exceed a minimum threshold of $600 in aggregate payments, regardless of the number of such transac sl8 Dec 2022 #35

Correct, $600 total per year is the threshold Shermann Dec 2022 #36

Link to my OP on this law in April this year. Grasswire2 Dec 2022 #30