Not even going to read this thread, and honestly surprised it’s back. No disrespect, hate, or any negativity, but yawn. Super. Big. Yawn.
I guess it’s back to my original plan of physical money transactions, only, after $599.
Conventions, Flea Markets, garage sales, point-to-point local sales, yard sales, craigslist, etc…
I’m just not interested in playing this game
1 Like
Hah… well, cash in and cash out is great. Gotta keep it as cash though by never depositing it if you really want to keep it untraceable.
I have a W2 while I do a lot of 1099 contracting, so I normally have a tax bill every single year no matter but I do the max take out at the W2 job and some years I get it so it’s only a few hundred I owe. That’s what I like to keep it at, few hundred or few thousand, that means I’m maximizing my actual income throughout the year. I’d rather owe a little bit each year than get a refund. IRS refunds are bad… that’s just giving the government a interest free loan throughout the year of money you could have had in your own pocket. 
4 Likes
To back up what @agentpoyo is saying, pretty much the only LLM (that’s the fourth year of law school adding an additional credential onto your JD) that the lawyer market almost unanimously agrees is worth anything is the 1-year intensive tax law LLM. An entire year dedicated to training an already fully-trained attorney to practice tax law.
So, yes, this is more complicated than it needs to be. Especially when you enter the realm of non-human legal entities.
2 Likes
Mercari sent notification you need tax forms for all sellers that make over $600. So, it is a thing. Make sure to always report all your earnings.
The title of this thread bugs me as an attorney. The law hasn’t changed. The enforcement mechanisms behind it have. It’s always been the law that you report your earnings.
7 Likes
it changed from 200 separate sales AND 20k in sales trigger a 1099k to just 600
1 Like
That’s for the 3rd parties to report your income, but as individuals, you were suppose to report such income rather they’re reporting it or not. The actual tax law has not changed.
The Washington DC Mafia will make sure they get every nickle out of YOU. Meanwhile they repeal the SALT deduction cap (a giveaway to the rich). They have to keep their megadonors happy.
3 Likes
We can talk about taxes without making it political. Let’s stick to topic please.
It is on topic.
2 Likes
Not really. We can probably refrain from calling them the “Mafia” and talking about them repealing stuff while keeping donors happy… that’s just dragging unnecessary politics into the conversation.
So, stick to the new law topic or just don’t comment at all.
2 Likes
I believe the 3rd party requirement doesn’t take effect until tax year 2022. Surprised Mercari is taking it upon themselves to be proactive. Maybe they’re trying it out for 2021 to work out the bugs for when 2022 comes along.
Probably but also, they could literally do their own rules despite the law on what they deem necessary to report to the IRS if it meets the laws requirements.
Anytime I see the word, “Mafia,” in a tax discussion I just think about how that is how they were able to get Al Capone. They couldn’t get him on the alcohol, drugs, guns, murders, but taxes, they got him on taxes. You can murder folks for money, but you damn well better report it, in other words.
Anyways, to stay on topic, I saw PayPal asking for socials from people for next year too.
Yes they could. But what do they have to gain by that? Why spend the time/effort in 2021 when you can wait until 2022? I don’t believe they just felt like doing it for fun. They have some incentive. I’m not aware of any other companies being proactive.
Of course we’ll all get surprise 1099s from EBay mid January. Merry belated x-mas! 
(Well, you stopped selling on eBay as of 12/31/20
I recall).
I’d say staying ahead of the game. But isn’t tax season 2022 for taxes in 2021?
Regardless, if they report it or not, I’m a good boy and report all my earnings for tax purposes each year. 
1 Like
I could 1099 every $60 plumbing service call if I want. I’m not required to, but I can.
That’s where you would fail… you’d get audited on grounds that no plumber on earth charges $60… most plumbers I know charge $90 just to show up to tell you how much it’s going to “really” cost…. 
Hahaha. No I get taken to the cleaners on my monthly home warranty premium. I call plumbers and HVAC contractors so often every year to make sure I get my value out of the thing.
It’s come in handy. Two free toilets, a replacement of our Thermador oven, brand new water heater for free. So, we milk it. Otherwise we’d be the suckers.