2. misc-audio
  3. 188792-6478

Paypal drastic changes

When you’re paid for goods and services, the US Internal Revenue Service (IRS) considers this reportable income.

Once you receive $600 in payments for goods and services within a calendar year, tax laws require us to withhold 24% of such payments when you have not confirmed your taxpayer status by either providing your US tax ID or completing a Certificate of Foreign Status. This 24% is sent to the IRS as backup withholding for any potential income tax due on those payments.

You can learn more about this tax law on the IRS website.

I tried to attach a link , but it wouldn't cooperate.

krelldog
Post removed 
czarivey
5,946 posts
 

@moonwatcher 

Behold your pritcher!

dman777
25 posts
 

Woe, that is crazy. There is never a gain in selling used stuff.... especially hi-fi. So if I wanted to sell my luxman for thousands of dollars I would have to deal with this horribleness. This means also my accountant bill will be higher with extra forms like this. This is all because of the democrats.

retroactiv
31 posts
 

The whole idea that the government taxes used goods (sales tax and income tax) every time they are sold is total BS. Yeah lets make the little guy who is just trying to sell an audio device (or anything else) that he already paid taxes on, go through all this hassle and potential costs involved. Tax everything to death.

frank_sm
113 posts
 

The biggest issue will be trying to find a 10 year old receipt for an amp or pair of speakers to show the purchase price. What happens then? Vinyl record sale profits are taxed as Capital Gains and taxed at 28% and there are a lot of sellers out there that have no idea what's coming. The fact they won't let you deduct losses is criminal.

More to discover