eBay & 1099's - Are they coming?

Silverstate · July 21, 2008 8:10AM

I had a buddy tell me that the rumors are flying that 1099's are coming soon to eBay!

I doubt it. How can they issue a 1099 to a seller when eBay was only getting paid for classified ad space.
They did hand the seller money, so as far as I can see only the buyer could issue one...since they paid the seller money.

OK, You CPA types, what say you.
Is Big Brother coming to eBay?

Then there is Big Sister...State sales taxes.....

I think there is many hoops to jump before any of this can happen.

nickel · July 21, 2008 8:36AM

topic was probably addressed before .
as I know it , a 1099 is issued to a payee by the
paying entity . this can be for interest received ,
dividends from stocks , businesses to self employed ,
precious metals refiners to coin shops sending
scrap gold or silver, and a myriad of other
1099-xx forms .
Ebay does not pay a seller . Buyer does .
It may come to pass that Uncle IRS may demand
records of sellers who meet minimum dollar amount
in sales or number of transactions .
State sales taxes with all the jurisdictions , may result
in a flat percentage of sales being withheld by the bay
to be distributed to whereever.
Or , none of this may happen .

doh · July 21, 2008 8:39AM

None of it will happen.....for awhile.....probably.

fishcooker · July 21, 2008 8:49AM

Any time people cheat their taxes so blatantly, the system changes. It was good while it lasted.

JohnMaben · July 21, 2008 8:55AM

I don't think IRS cares about ebay.... now paypal, that could be a very different story.

COINB0Y · July 21, 2008 8:56AM

First, I think the IRS better tell us what law says we must file a 1040 ;>

COINB0Y · July 21, 2008 8:57AM

I agree with John, PayPal is where the money is..

sweetwilliet · July 21, 2008 9:01AM

Does ebay have your social security number?

charley · July 21, 2008 9:03AM

States Rights, States Rights, States Rights...this might be the loudest voice if the idea starts having any teeth, because of the budget crunch. They will want their share-again. Respectfully, John Curlis

JazzmanJAB · July 21, 2008 9:06AM

A 1099 is given to non-corporate entities for goods or services over $600.00 . E-Bay would have to obtain social security numbers for this to work.

tyler267 · July 21, 2008 9:45AM

The IRS may not require a form 1099, they might add a new form for these types of transactions.

The IRS is shifting it's focus to small business so I think it's only a matter of time before they require some sort reporting for ebay sales.

I'm just going to keep this simple and report all my sales and related expenses.

mrearlygold · July 21, 2008 9:48AM

Definitely although they may call them "fees" or some other bullcrap. Taxes are what they will be.

tyler267 · July 21, 2008 9:55AM

stman · July 21, 2008 9:59AM

I certainly hope so. But it will probably be Paypal that does it.

stman · July 21, 2008 3:27PM

Killed another one. I will say I don't think a person that just sells a few coins from their collection should have to pay taxes on it. But I suspect if this does come down, the IRS won't care. After-all, all monies received should be claimed anyway. And I'm sure all the fine members of this board have always been doing so.

Amigo · July 21, 2008 3:37PM

Realistically, a 1099 would make no sense at all across the board. You have to remember that for many sellers, they are simply selling their junk that isn't taxable anyway, ie used clothes, unwanted gifts, car parts etc etc. The IRS isn't going to want to have to deal with all the sellers attaching the 1099 with disputes on the 1040's

On the other hand, I'm sure it would be ez for ebay to filter out the businesses and all items that are taxable, ie coins and currency. Ebay could then require a SS on file to allow selling - then simply forward the 1099 irregardless of paypal. It would then be encumbant upon each person to establish the cost basis to deduct from the 1099 for net gain and tax due. Will it happen ? Probably, when the time makes sense for them.

CoinMaster1229 · July 21, 2008 3:51PM

If paypal has access to a bank account, i would bet uncle sam can use that to gain access to your ss number!!

Its best to just pay your taxes & sleep at night.

BAJJERFAN · July 21, 2008 9:35PM

Its likely eBay might send you and the IRS a total of gross sale prices listing fees FV fees etc. for your yearly/quarterly activity. Its up to you to provide documented costs for shipping, etc. and the items that you sell.

TwoSides2aCoin · July 21, 2008 10:44PM

I'll be sending a 1099 to eBay

BobaFett72 · July 21, 2008 10:47PM

they get enough of my money; not getting a penny more.

Wolf359 · July 22, 2008 12:25AM

Report your sales, pay your taxes, and who cares what happens with the IRS, eBay and PayPal.

jdimmick · July 22, 2008 7:23AM

Thats right,

I report all sales whether it be e-bay , PCGS forum, OTC , other dealers, etc and file on business schedule C

As far as sales tax goes, I collect and pay in quarterly to the State of NC taxes collected on all sales delivered in the state wether it be e-bay, PCGS forum, otc etc. Other states are up to the buyers to report on there end as I do not collecto for those states as it is not required. At this time NC is only concerned with taxes for in state sales. If a law gets changed to a national sales tax type program, then I will have to collect for every state or some kind of blanket rate if developed. This will be time consuming as already NC has expanded in the past year and now I have to break down by county the amount of sales tax collected per each county seperately on a reporting form E-536.

Jim

eBay & 1099's - Are they coming?

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eBay &amp; 1099's - Are they coming?

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eBay & 1099's - Are they coming?