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IRS 1099 Threshold
 

Hi,

I know the threshold is $20,000 and 200 transactions in 1 year.

I just wanted to get clarification, do I have to meet BOTH requirements,
or do I just have to meet one or the other in order to be sent a 1099 from eBay/PP


And does this apply if we have enrolled for MP?
Or since we provided our SSN will we be sent the 1099 regardless?

Re: IRS 1099 Threshold
 

Pretty sure you just need to have one of those, 200/$20k to get a 1099. At least as of a while ago I know that. No idea about MP but you will probably get 2 1099s, one for PayPal and one for eBay (assuming you did the sales volume).

Re: IRS 1099 Threshold
 

Re: IRS 1099 Threshold
 

At 200 transactions AND 20,000 in a year all payment processors will send you a 1099 and report to IRS. Was moved to Managed Payments in July so I will get a Paypal 1099 and one from Adyen/Managed Payments this year.

Re: IRS 1099 Threshold
 

when you receive your 1099K,it shows gross amount you collected,you have to take out the refund and sales tax to arrive at NET/

Re: IRS 1099 Threshold
 

don't forget that they can also request tax ID if they expect you to exceed this limit

Re: IRS 1099 Threshold
 

Just as speeder said above, meaning they can request doc if your rate of income is expected to exceed that EVEN if you don't even reach the limit.

Re: IRS 1099 Threshold
 

And lately they've been asking for docs upfront.

Re: IRS 1099 Threshold
 

I think if you're using stealth and you pass the $20k then what. I've seen some ebay sellers doing straight talk and gone over $30k I wonder what's going to happen to the real names used in these stealth.

Re: IRS 1099 Threshold
 

Straight talk?

Re: IRS 1099 Threshold
 

it goes by SSN,whose SSN are you using?

Re: IRS 1099 Threshold
 

straighttalk . com refills. i know of a certain sellers doing in excess of $335x100 refills then disappearing.
i wonder how the real name used is going to have a hard time.

Re: IRS 1099 Threshold
 

i met someone on skype who sold more than 30k using a stealth account and he reeived the 1099, and paid the taxes.

now, is that good or what? i just can't think of it.

Re: IRS 1099 Threshold
 

what do you mean he paid it?
if it is a stealth,it is not his account,not his SSN?
1099k is a form telling you how much you have collected,you use it to file income tax,
IRS gets a copy of that 1099k and add the amount to the SSN owner

Re: IRS 1099 Threshold
 

got a doc request at $7k. paced it so wasn't going to exceed $20k. switched to business account and used ein...no problems.