Question

Poshmark and Ebay sales

Forum|Forum|3 years ago
February 2, 2023
1 reply
0 views

All of the posts I've seen so far pertaining to online sales for the current tax year (2022) assume that 1099 forms will be mailed to sellers whose sales exceed the current threshold of $600. This is apparently not going to be the case for those whose sales do not exceed the prior threshold of $20,000. Will the total sales amounts be reported to the IRS by the different platforms despite the fact that they are not providing to the sellers the amounts they may be reporting? I ask because I have read that some sellers have received 1099s (possibly those that exceeded the prior threshold) and the sales amounts were grossly overstated. I am very concerned about increasing my chances of an audit.

TurboTax Home & Biz Windows

G

GlawAuthor

Any guidance on this subject would be most appreciated.

CatinaT1

Even though the new rules for issuing 1099-K's were delayed until 2023, many Third Party Settlement Organizations (TPSO) may have filed them using the new threshold.

If a 1099-K was issued in any amount, it will also be sent to the IRS. Either way, the income must be reported.

If there are discrepancies on a 1099-K, those would need to be addressed with the issuer.

**Say "Thanks" by clicking the thumb icon in a post**Mark the post that answers your question by clicking on "Mark as Best Answer"