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IRS delays tax change for Venmo, Cash App users

1 pointsby cwwcover 2 years ago

1 comment

prirunover 2 years ago
I posted a comment about this earlier:<p><a href="https:&#x2F;&#x2F;news.ycombinator.com&#x2F;item?id=33753709" rel="nofollow">https:&#x2F;&#x2F;news.ycombinator.com&#x2F;item?id=33753709</a><p>This new rule is really awful: it likely affects millions of taxpayers, and only brings in $850M&#x2F;year in new tax revenue for the next 10 years. Considering Congress is spending $1.7T next year, the revenue from this new law is like 1 penny out of $20 (1700000&#x2F;850 = 2000)<p>The thing that really bothers me is that most people who get a 1099-K from PayPal for selling shit on eBay are going to automatically assume they need to pay taxes on this &quot;revenue&quot;. But if you buy a blender, decide you don&#x27;t use it much after a few years, and sell it on eBay for $50 to get it out of the house (and repeat this enough to &quot;make&quot; $600), you don&#x27;t owe taxes on that money! Selling used junk around your house is not business income.<p>Don&#x27;t we <i>want</i> people to recycle usable stuff rather than throwing it in a landfill??