At a Glance
eBay believes millions of Americans casually selling things online shouldn’t receive unnecessary and confusing tax forms for small-time transactions.
Click here to tell Congress to fix this burdensome requirement.
Do you occasionally sell things from your garage or closet on eBay? If so, those transactions may soon be put under a microscope by the IRS. Previously, only major sellers (completing hundreds of transactions totaling tens of thousands of dollars) would have their transactions automatically reported to the IRS. Soon, even a single sale over $600 – the new reporting threshold – could land you with a burdensome 1099-K tax form. And the change does not take into account the millions of individuals selling used or pre-owned items where there is no taxable event.
eBay believes that dropping the minimum threshold to $600 for issuing a 1099-K will cause confusion and over-reporting of non-taxable income for millions of Americans.
I am retired and Social Security does not meet all our expenses. eBay sales help make up the difference to pay my bills. I am a casual seller; I should not be taxed like a business. I cannot afford to stop selling because without these sales I would struggle financially.
– Scott T., Nevada
Congress should protect consumers and increase the reporting threshold for platforms enabling consumer sales of goods.