Thank you for watching out for me!
Okay, question from a Canadian.
If i sell over $600 on eBay in the year (less than $20,000 or 200 transactions), is eBay going to send anything to me/CRA for 2022 tax season?
I posted on the eBay Canada chat and was told that it was business as usual for Canadians that sell on eBay. eBay has not answered the question.
How are you Canadian sellers looking at these changes to the US reporting rules and do they affect us?
Welcome.
I am neither a tax professional nor Canadian, but I would think if you donāt pay taxes in the US it shouldnāt affect you(?). Hoping someone with direct knowledge will weigh in.
You have to pay your taxes according to Canadaās tax laws. So no, the US tax laws do not apply to you in Canada. Talk to a tax professional in Canada to get a solid answer to questions.
Iām not looking for tax advice. I am just trying to find out if eBay is going to send anything to the Canadian tax agency in the same way that itās now sending to the IRS for over $600 and under $20,000.
Thanks for all the replies
If youāre asking, then yes, you sort of are though.
Doesnāt matter if they send or not, a quick look up of Canadaās laws is, anything you sell to make profit from online sales have to be reported. So youāre still on the hook for paying taxes even if they donāt send them anything.
Will eBay send Canada 1099 or sales info to Canadaās IRS or whatever they call it? Check with eBay to be certain. If you canāt find anything online, call them. They wonāt send them based on the US $600 and $20k laws we have here, since Iām sure the laws differ in Canada.
Not sure. As a fellow Canuck, the rules I go by are that collectibles are treated as āpersonal use propertyā. As such, you can sell them like any other used good, but items that sell for over $1K are subject to capital gains tax. In addition, sales over $30K total for the tax year are subject to tax.
Best to look up tax laws for collectibles in Canada.
Will do. Thanks
Having been to Canada I recall that all sales tax is paid in maple syrup. I had to carry a bottle and squirt it into the special maple syrup deposit anytime I owed any extra change.
In the interest of fairness, I shall now make fun of my own country and use this metaphor but replace maple syrup with bullets, because America of course loves its guns. It works either way!
I just got a 1099 from ebay in the mail and I barely sold over 600 in 2021. Did they make a mistake? or is the 600 dollar rule for 2021? Sorry if this was discussed just alittle surprised.
The $600 automatic 1099 shouldnāt go in effect until next year taxes.
Its weird I not even close to 20K for 2021 and I got a 1099K from ebay. Im calling them but very weird.
I got one too. I mostly cut out ebay as a selling platform and sold mostly on Mercari. I think I did $1200 on ebay for the year. But it was going to report the income anyway.
If ebay jumped the gun, gonna surprise a lot of sellers.
I believe the IRS gets these too, right? So itās not like you can just toss it if they didā¦
I just got off the phone with ebay apparently they mistakenly sent out 1099s to California and Illinois users if you sold any amount at all. The rep said they only mailed to the ebay users and not to the IRS. Not sure how valid that part is but just for awareness. If you have question about it I would call ebay as well as Im just letting you know what happened when I called just now.
Doesnāt cover you Anthony
Yeahā¦something tells me it was more than just two statesā¦.
I was wondering If ebay was going to f this upā¦
PAY YOUR TAXES PEOPLE ON INCOME! Why is this so hard to swallow?
I live in Maryland so those two states certainly donāt cover me.
I think itās more the xtra aggravation that now you have to āmatchā whatever ebay sent to the penny. Thatās what Iām not looking forward to next year. Iām not sure if ebay is just going to post just sales or are they subtracting out the taxes THEY collect as well their fees and postage paid through them? Iām assuming they are going to just dump a grand figure of $$$ they collected and weāre going to have to break that all out.
Iām not looking forward to extra work to break all that outā¦but Iām keeping better records starting 1/1/22, for sure. Watching them like a hawk.