So if some shady business owner, that uses cheap Mexican labor, decides rather than reporting that he is paying someone that is not authorized to work in US, so they just report that money as payment paid to you, even if you didn't receive that money. The only recourse is to TELL that business owner to correct it? What if they don't?
What a bunch of crap!!! This sounds unconstitutional as hell!
Well. They can do whatever the fuck they want. So what if they audit me for selling golf clubs on eBay. It will be a waste of time for the IRS since I sold over $5,000 in golf clubs, but I paid more than 5000 for them. I'm sure most people that get those 1099k's will be in a similar situation. Waste of time for everyone involved.
It will be a waste of time for the IRS since I sold over $5,000 in golf clubs, but I paid more than 5000 for them.
I don't know it if will be as simple as that. First you will need your receipts from a long time ago when you originally bought them. Also I can see that loophole as a way to pad your deductions. Sell something on Ebay for $1,000 and then itemize that you paid $10,000 for it new. That extra $9K will go a long way to help other deductions.
This mainly catches people who do side work, and get paid by those services. I never use it to pay workers, I go to the ATM and get them cash.
I think it would be funny for pranksters to track down Congress Critters and Government Bureaucrats identifying info and then send them 1099's from defunct businesses and yes send them to the IRS too.
What a bunch of crap!!! This sounds unconstitutional as hell!
https://www.thegatewaypundit.com/2022/11/irs-warns-american-taxpayers-report-transactions-least-600-venmo-paypal-third-party-networks/