Closet cleaning? Did you sell something online for over $600 this year? Watch out for your IRS Form 1099.

Posted by & filed under Accounting Information Systems, Accounting Principles, All Articles, Cost Accounting, Financial Accounting, Income Taxes, Intermediate Accounting, Managerial Accounting, Uncategorized.

According to the New York Times, a new change in tax law may result in Form 1099s to be sent to some small time sellers for online sales.

Questions:

  1. What was the aim of this new tax law?
  2. When did the law take effect?
  3. The law is part of which congressional action?
  4. Which online marketplaces and payment services will you most likely receive 1099s from?
  5. How does the law differ between 2021 and 2022?

Source:

Carrns, A. (2022). Did You Sell an Old Desk Online? You May Receive a Tax Form. The New York Times, Sep. 30 (Retrievable online at https://www.nytimes.com/2022/09/30/your-money/online-marketplaces-1099-k.html)