Starting on Jan 1, 2022, IRS regulations require all businesses that process payments, including online marketplaces like eBay, to issue a Form 1099-K for all sellers who receive $600 or more in sales. The new tax reporting requirement may impact your 2022 tax return that you may file in 2023. However, just because you receive a 1099-K doesn’t automatically mean that you’ll owe taxes on the amount reported on your 1099-K. Only goods that are sold for a profit are considered taxable, so you won’t owe any taxes on something you sell for less than what you paid for it. For example, if you bought a bike for $1,000 last year, and then sold it on eBay today for $700, that $700 you made would generally not be subject to income tax. Check out our 1099-K FAQ to learn more about these changes.

https://pages.ebay.com/seller-center/service-and-payments/2022-changes-to-ebay-and-your-1099-k.html

What I'm posting this for is so it's not a surprise. Now we have to keep records to show profit and loss for collectibles sold on eBay.

Just another example of politicians reaching into our pockets and grabbing all that they can. Tax and spend.

A provision in the American Rescue Plan Act of 2021 (aka the COVID relief bill) now puts some people's online-selling activity in the crosshairs of the IRS.

If you use PayPal, eBay, Etsy, or any electronic form of payment processing to collect money from buyers, you will be impacted if the amount a single entity processes on your behalf exceeds $600.

Be ready to figure this into your taxes and have documents and receipts to prove you didn't make as much as some form, with no details, is going to be reporting to the IRS. I wonder how many audits this is going to trigger?