Longshadow Loc: Audubon, PA, United States

Hassle.

joanloy Loc: St. Louis, MO

There are many Forms 1099. If you are talking about the 1099-K, I have not researched the specifics yet. Previously it was 200 transactions and $20,000 in sales. I prepared a tax return for an individual who had over $30,000 in sales but less that 200 transactions. She did not receive a Form 1099-K, had not documented her expenses, and chose hot to report the income. That prevented her from getting the child tax credit and the EIC. She hurt herself but making that choice. The income should have been reported minus expenses.

DennyT Loc: Central Missouri woods

I guess that is the one most here are concerned about . Is now required for any number of action or gross amount over $600 ?

That Would seem to include to include joe blow who sold one item thru PayPal .
I would think irs algorithms would have some limits set to ignore. It unless it shows above A certain. Amount or transaction.
Else the system would be over run .

Shutterbug1697 Loc: Northeast

Check???

Why not cash only?

At some point, even checks will need to be reported by the banks to the IRS.

Years ago, I had an eBay buyer who hadn't completed his verification process, so I wouldn't accept his payment through PayPal. .

I forced him to send me a Postal Money Order which I took directly to the Post Office to cash it in before I would ship his purchase. But it left the transaction open / incomplete on my account on eBay.

But if your reasoning is to avoid reporting the transactions to the IRS, then stop using eBay or other auction or sales platforms to sell items where the transactions are traced on the platform.

There are other options which might not be as convenient or reach as wide a range of potential customers.

You'll have to weigh avoiding the IRS against the convenience of a large platform.

Shutterbug1697 Loc: Northeast

I hate to say it, but I do.

Blame my mother, she kept all of her household receipts.

They helped to prove original cost of buying the house, and any improvements made to the house over the years.

When we closed up her house and sold it, I wish that I had grabbed those receipts, because I could have also recorded all of our family vacations. My mother kept a log of where we stopped each day, and what those trips cost.

I've been the family member who's put together as much of our extended family tree information as I could from all of the notes my mother made over the years.

Shutterbug1697 Loc: Northeast

Read this link.

It advises not to mix personal transactions with business transactions. You should set up separate accounts.

https://turbotax.intuit.com/tax-tips/irs-tax-forms/form-1099-k-decoded-for-the-self-employed/L6xHSTXwR

There's a bit more detail on this link.

https://www.ntu.org/foundation/detail/irs-snooping-isnt-the-only-600-threshold-that-makes-no-sense

Shutterbug1697 Loc: Northeast

If you choose to ignore any Form 1099's which you receive, you open yourself, and/or your business, up to an IRS audit, fines and interest on your unpaid taxes.

Are you really willing to take those risks?

wilpharm Loc: Oklahoma

that was a misprint, my fault...THERE is inheritance tax on farms..you said there were not..thats why many farms are being dissolved

DennyT Loc: Central Missouri woods

I never said that must have been another poster but I don’t believe that isvthec reason farms are being displaced

You may want to read this

https://www.nerdwallet.com/article/taxes/inheritance-tax

wilpharm Loc: Oklahoma

actually you did...go back to the list that you posted..INHERITED ASSETS was part of that!!!!!!

DennyT Loc: Central Missouri woods

Actually I didnt

Please go back and read the post

“ Money received as a gift or other inherited assets (the exception here is, if you’ve earned money as a result of that gift, you owe taxes on those earnings)””
That was in the category of not taxed and only the earnings not the inheritance

wilpharm Loc: Oklahoma

"other inherited assets"????????

DennyT Loc: Central Missouri woods

the whole post that’s. Under the heading of

“ You don’t have to pay taxes on all income, though. This category
generally includes …“

I merely copied should have give you the source- my fault. Sorry that was. The federal (?i did reference form 1040)

The federal govt , to my knowledge dies not have an inheritance tax- not to be confused with an estate tax. States however do have one

https://turbotax.intuit.com/tax-tips/estates/what-are-inheritance-taxes/L93IUc3sC


EOD

wrangler5 Loc: Missouri

Terminology is important when you talk about taxes.

An "estate tax" is imposed by the federal government on the estates (over ~$12 million for 2022) of decedents, and has first claim on the assets of the estate before any heirs or other distributees get anything. It is payable in cash (you can use a check, but not a deed to some land or a truckload of cows) shortly after death, and can be a serious planning problem for individuals with valuable farms or private businesses that don't have a lot of cash lying around. For farms and non-public businesses there are ways to work out installment payments of the estate tax over future years, but you need to have heirs willing to keep the business going to pay the tax. Otherwise, selling the farm can become the only option - and it happens fairly often.

An "inheritance tax" is a tax imposed on heirs after they receive money/property from a decedent's estate. There is no federal inheritance tax. And inherited money is not subject to federal income tax, so it does not show up on a federal tax return. Since many if not most states start their income tax calculations with a line from the federal return, inheritances are usually not subject to state income tax either. However some states do impose a separate inheritance tax on the heirs. (I never worked in a state that had one, so only know that they exist.)

DennyT Loc: Central Missouri woods

Thank you- I may be wrong -but think only a handful of states have inheritance taxes. It is certainly not the reason there are fewer farms.
Hope wilpharm reads you post

Thanks again