New Tax Reporting ($600 Threshold per year) and Consignments 21 21

[the blob]

On 3/14/2024 at 3:30 PM, NewWorldOrder said:

All I see in this thread is a bunch of worry warts.

Do you actually think the USA Gov't is going to spend their time and resources on that?  Come on now.

Literally just give it your best guess on how much you paid and write in the expenses box and call it life.

I love how most comic collectors can tell you exactly who and what con they bought their ASM 300 at, but yet when it comes to remembering what they a paid it slips their mind.....

If ebay sends the IRS something saying I made $10K in sales I do worry about having to fill out another page on my taxes, that's all. Am I that worried if I say my cost basis is $9800 and I only made $200 profit (because the reality of it is that is probably true) I will get audited? Probably not, but I hate having to do more paperwork.

[WeR138]

On 3/14/2024 at 2:30 PM, NewWorldOrder said:

All I see in this thread is a bunch of worry warts.

Do you actually think the USA Gov't is going to spend their time and resources on that?  Come on now.

Literally just give it your best guess on how much you paid and write in the expenses box and call it life.

I love how most comic collectors can tell you exactly who and what con they bought their ASM 300 at, but yet when it comes to remembering what they a paid it slips their mind.....

But in the event that you are the target of an audit because of your funny book, New World Order has graciously decided to make you whole on the time and money you lost for following his accounting advice!   

[Ryan.]

On 3/14/2024 at 4:01 PM, The humble Watcher lurking said:

Exactly their lawyers would cost $500 an hour. They will not come after people for such a low amount. 

The IRS absolutely will, and has, gone after people for $500 and less. It doesn't involve lawyers; it's a form letter prepared and issued by an admin.

However, @NewWorldOrder is correct that a good faith effort at calculating your cost basis is all the IRS requires. No one needs to submit a receipt from 1985 to prove they paid 96 cents for a copy of Spider-Man sold in 2023 for $96.

[NewWorldOrder]

On 3/14/2024 at 1:39 PM, the blob said:

Between me and my wife, her 4 jobs, consulting business, etsy sales, and a myriad of deductions my taxes are more complicated than my 1099 and an ebay sale though 

I would be filing separately then, unless you are saving money by combining. 

My point is even more true.  $500 comic really doesnt even matter to that return then.

[ADAMANTIUM]

On 3/14/2024 at 5:20 PM, NewWorldOrder said:

I would be filing separately then, unless you are saving money by combining. 

My point is even more true.  $500 comic really doesnt even matter to that return then.

Wait I thought the threshold was now something other than $600?

You keep mentioning that amount or is it now something else?

[NewWorldOrder]

On 3/14/2024 at 3:22 PM, ADAMANTIUM said:

Wait I thought the threshold was now something other than $600?

You keep mentioning that amount or is it now something else?

The threshold has and always been is you make a $1.00 Profit you are supposed to report it on your taxes.

BTW I hate big govt.  Jut stating the rules of USA tax life.

I cut my grandmothers grass when I was a kid.  Yes they want their cut

[NewWorldOrder]

On 3/14/2024 at 3:20 PM, Ryan. said:

The IRS absolutely will, and has, gone after people for $500 and less. It doesn't involve lawyers; it's a form letter prepared and issued by an admin.

 

So the IRS will always do that the vast majority of the time?  The answer is generally no is my point. 

[ADAMANTIUM]

On 3/14/2024 at 5:24 PM, NewWorldOrder said:

The threshold has and always been is you make a $1.00 Profit you are supposed to report it on your taxes.

BTW I hate big govt.  Jut stating the rules of USA tax life.

I cut my grandmothers grass when I was a kid.  Yes they want their cut

It's not what I asked but I appreciate the good sturdy compass.

I thought someone else had spoke that it was now changed to a different amount, but I don't see that in this thread so no worries!

 

[Ryan.]

On 3/14/2024 at 6:25 PM, NewWorldOrder said:

So the IRS will always do that the vast majority of the time?  The answer is generally no is my point. 

If the IRS believes that you owe them $1 you will get a letter in the mail. It's a formality. Gun toting agents are not showing up at your door.

Edited March 14 by Ryan.

[NewWorldOrder]

On 3/14/2024 at 1:42 PM, the blob said:

If ebay sends the IRS something saying I made $10K in sales I do worry about having to fill out another page on my taxes, that's all. Am I that worried if I say my cost basis is $9800 and I only made $200 profit (because the reality of it is that is probably true) I will get audited? Probably not, but I hate having to do more paperwork.

You are supposed to do that if you did $100 in ebay sales.  All sales from $1.00 to $1 billion technically are supposed to be reported.

Who cares about the threshold. That is just an eBay paperwork required of them by the Govt.

[ADAMANTIUM]

Don't individuals making below the poverty level not pay any taxes?

I don't know how dependents work, if a child has to put in a tax return on mowing lawns.

Weird stuff!

Edited March 14 by ADAMANTIUM

[NewWorldOrder]

On 3/14/2024 at 3:27 PM, Ryan. said:

If the IRS believes that you owe them $1 you will get a letter in the mail. It's a formality. Gun toting agents are not showing up at your door.

Wesley snipes?

Again point being if someone forgot to report their saving account interest of $150 for the year 2023 I wouldnt lose sleep over it.

[NewWorldOrder]

On 3/14/2024 at 1:51 PM, WeR138 said:

But in the event that you are the target of an audit because of your funny book, New World Order has graciously decided to make you whole on the time and money you lost for following his accounting advice!   

You dont get a full blown audit you get a friendly letter like @Ryan. said.   Really not a big deal.

#1 red flag to get audited = you dont even file your taxes.

[Ryan.]

On 3/14/2024 at 6:30 PM, NewWorldOrder said:

Wesley snipes?

Again point being if someone forgot to report their saving account interest of $150 for the year 2023 I wouldnt lose sleep over it.

Nor I. But I also wouldn't be surprised to receive an assessment letter saying I owed $6. That letter likely wouldn't come until 2026 when the low level admin gets around to sending it but it will come.

[NewWorldOrder]

On 3/14/2024 at 3:32 PM, Ryan. said:

Nor I. But I also wouldn't be surprised to receive an assessment letter saying I owed $6. That letter likely wouldn't come until 2026 when the low level admin gets around to sending it but it will come.

I dont think that would happen most of the time though, could it? Sure

Maybe with AI coming that will make every dollar easily to track.

 

[namisgr]

On 3/14/2024 at 6:29 PM, ADAMANTIUM said:

Don't individuals making below the poverty level not pay any taxes?

I don't know how dependents work, if a child has to put in a tax return on mowing lawns.

Weird stuff!

Gross income must be at least $13,850 for a single filer and $27,700 for married filing jointly in order for a tax return to be required for persons under age 65.

https://www.hrblock.com/tax-center/income/other-income/how-much-do-you-have-to-make-to-file-taxes/

Edited March 14 by namisgr

[grendel013]

On 3/14/2024 at 6:24 PM, NewWorldOrder said:

The threshold has and always been is you make a $1.00 Profit you are supposed to report it on your taxes.

BTW I hate big govt.  Jut stating the rules of USA tax life.

I cut my grandmothers grass when I was a kid.  Yes they want their cut

Where is that rule though? I'm not educated in tax law AT ALL. I just hear the conspiracy is there is no law stating this. IDK. I'm just wonder why nobody can ever show this proof. Like it's just "been this way forever". But why do I hear people who can afford the court fees and have the patience end up winning these lawsuits? It's the fear of being couped up in jail waiting 15 years for your case to finalize is the scare tactic as well I'd think. Maybe I should Google this. I'm just asking you because I'm reading through this depressing topic. LOL.

[Buzzetta]

On 3/14/2024 at 3:30 PM, NewWorldOrder said:

All I see in this thread is a bunch of worry warts.

Do you actually think the USA Gov't is going to spend their time and resources on that?  Come on now.

Literally just give it your best guess on how much you paid and write in the expenses box and call it life.

I love how most comic collectors can tell you exactly who and what con they bought their ASM 300 at, but yet when it comes to remembering what they a paid it slips their mind.....

I live in a town where I walked out of Panera Bread to hear someone yelling into their cell phone while pacing the parking lot, "You are not getting it, the Feds took (Spoon)ing everything."

 

So... yeah... 

[Ryan.]

On 3/14/2024 at 6:39 PM, Buzzetta said:

I live in a town where I walked out of Panera Bread to hear someone yelling into their cell phone while pacing the parking lot, "You are not getting it, the Feds took (Spoon)ing everything."

 

So... yeah... 

Hopefully Karen didn't dump all the coke down the toilet.

[NewWorldOrder]

On 3/14/2024 at 3:39 PM, Buzzetta said:

I live in a town where I walked out of Panera Bread to hear someone yelling into their cell phone while pacing the parking lot, "You are not getting it, the Feds took (Spoon)ing everything."

 

So... yeah... 

I don't understand what you mean.  The Feds went from asking about a $500 comic book to he lost everything?

CMP sucks.  God I hate him now!  Triple H embarrassed him and it was glorious back in early 2010's

Edited March 14 by NewWorldOrder