Question

I received two 1099-k's one from square and one from stripe. I am not self employed. where do I enter them? I sold some expensive camera lenses

Forum|Forum|5 years ago
January 18, 2021
1 reply
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I lost my job and needed to make some money to pay my bills so I sold some of my expensive camera equipment. I received one 1099-k for $2700 and one for $1100. I am being prompted to enter these under self employment income but i'm not self employed. I live in MA and i know these get reported to the DOR for anything above $600 so i want to make sure i include them . I'm not really sure what to do with them.

TurboTax Self Employed Online

M

MinhT1

I assume that you sold your used camera lenses for less than the price you paid for them.

If you sell personal property at a loss (i.e. for less than what you paid for them), there is a loss and loss on personal property is not tax deductible. There is nothing to report on your tax return. Just your forms 1099-K in your tax records.

If you sold them at a profit, please comment back and I will guide you further.

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L

leefeedesignsAuthor

Thanks for commenting. I did not make a profit. I lost money on them but I needed the money to pay bills more than the lenses at the time. I'm concerned about just not filing them at all, because they are over $600 they are reported to the state of Massachusetts.

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PattiF

Yes, Massachusetts and a few other states have lowered the threshold for reporting income from PayPal on a 1099-K. The Massachusetts State Tax website says that if the income on the form did not meet the federal threshold of $20,000, then the 1099-K only needs to be reported to Massachusetts and not included with the IRS return. There is a separate link to MassTaxConnect as shown in the link in the paragraph Submission of Forms 1099-K to DOR using combined Federal/State Filing Program. Massachusetts 1099-K Submission

The FAQ section of the same web page has a section "Since I received a Form 1099-K, does that mean I owe tax?" FAQ 1099-k Massachusetts Number 2 addresses selling personal items at a loss while downsizing.

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