Question

How to deal with the $600 1099 form from online sales

Forum|Forum|4 years ago
December 16, 2021
1 reply
0 views

in 2022, online sales sites will be sending out 1099 forms for all sales over $600.

I have many personal property items I will be selling this coming year. So say, I am selling a sewing machine that original purchase price was $500 and it sells for $200, how do I enter this? I know you cant take a loss on the sale of personal property, but somehow it needs to be entered to cover the 1099 I will be receiving. Purchase price of $200 and sale of $200?

Just trying to get a handle on what kind of records I will need to be keeping.

Thanks!

rjs

Employee

We have no idea how the IRS is going to want this shown on the 2022 tax return, or how it will be entered in TurboTax. That's a year away. They're still working on getting ready for 2021 tax returns right now.

Make yourself a spreadsheet to record for each sale the item description, purchase date, purchase price (if you know them), sale date, and sale price. That will give you all the information you need. Look for details on how to report it a year from now.