It would be really convenient if PayPal reported what I _spent_ on e-bay -- it would simplify me calculation of my expenses, I buy parts for R/D on eBay. Otherwise it's still a game in a single gate: powerful Bureaucracy VS weak Individual.
If you don't want the IRS bothering you, then you do have to fill out a schedule C. It is 2 pages. You really only need to fill out about 10 lines or less, but you do need the paperwork to back up those entries.
If you think an IRS agent wants to waste time tracking down why forms reporting income to you don't match what you show, then.... IRS agents do well when they find folks who actually are cheating. Apparently a number of eBay folks don't show the income so the IRS looks at more folks who use PayPal than normal. Audits are really only done on 1% or less of returns.
If you think an IRS agent wants to waste time tracking down why forms reporting income to you don't match what you show, then.... IRS agents do well when they find folks who actually are cheating. Apparently a number of eBay folks don't show the income so the IRS looks at more folks who use PayPal than normal. Audits are really only done on 1% or less of returns.
I really hope this isn't true, TechDIY was the only way I was able to buy matched components for my F5 for a reasonable price. Without them I would have had to buy a bunch of equipment and components and for a newbie that is a daunting task. I hope you find some way to continue your business without added headache.
It wasn't corporations that started this thread nor were corporations the subject of this thread.
The thread was started by a small business owner concerning the new form 1099-K. Do you have anything to add to that subject?
se
Wonder who pushed for this new law? Surely it wasn't people who sold low dollar items on the side.
How about moving to Google Checkout?
Perhaps those with an interest in reducing tax evasion?
The law doesn't apply just to PayPal. It applies all such entities providing such services.
Oh, and by the way, I've said everything I've said as someone who's sitting here looking at his own 1099-K he received from PayPal last week. The 1099-K doesn't change a thing for me. The only people I can possibly see it having any effect on are those who are wanting to cheat on their taxes.
se
I sell most of Linear Audio through paypal, and I find it very convenient to set up a report on paypal that gives me a printable list of everything I sold in 2011, euro or US$, plus another report of everything I paid as author fees, etc etc.
I just print and file it, and when the Dutch IRS wants to see it, they're welcome.
The difference is that so far, as far as I know, paypal does no automatic reporting to our IRS, but I think they will eventually.
All banks in Netherlands already DO report everthing you have on an account to the Dutch IRS, plus anybody who pays you (your employer, pension whatever) is also automatically reported.
For tax purposes, I need to complete an on-line declaration. I say 'complete' because 95% of everything is already there. They just want you to put in anything they missed ;-).
jan didden
can't comment on the US tax system, but I once had a small business too and dealing with the paperwork was always a real pita.
I suggest aiming for more profit! If you earn money with your business, doing proper accountancy will (hopefully) pay off and provide you with an intrinsic motivation.
This sucks...
We're now getting DUPLICATE 1099misc forms from both the third party administrators, the insurance companies that process the claims... AND the Union plans that sponsor the health plans we bill... all for ONE SERVICE... so it looks like three separate income streams.... kill all the lawyers!!!
So if your Doctor refuses to see you next year, or you can't find one that speaks English... be forwarned and blame the IRS
Guess who has to sort out and explain all this crappola to the IRS
you wanna see a pile of paperwork??? Just check out the business end of medical practice in this country
John L.
We're now getting DUPLICATE 1099misc forms from both the third party administrators, the insurance companies that process the claims... AND the Union plans that sponsor the health plans we bill... all for ONE SERVICE... so it looks like three separate income streams.... kill all the lawyers!!!
So if your Doctor refuses to see you next year, or you can't find one that speaks English... be forwarned and blame the IRS
Guess who has to sort out and explain all this crappola to the IRS
you wanna see a pile of paperwork??? Just check out the business end of medical practice in this country
John L.
Last edited:
There's enough group buys and vendor kits, if no one is really making money from these, then why not try to work with Mouser, Digikey, etc to offer kits for PCBs that are sold through the diyaudio store? Maybe someone has tried? There will still be a need for folks (like me) to order match parts, which I think charging for the matching is more than reasonable and a valuable service to the communitiy.
Before closing shop, you might go talk to a tax accountant and see what the actual costs could be for 2012 and factor that into the price. In the end it might not be worth it, but I would like to purchase a few F5 kits before you retire.
Before closing shop, you might go talk to a tax accountant and see what the actual costs could be for 2012 and factor that into the price. In the end it might not be worth it, but I would like to purchase a few F5 kits before you retire
.
Thanks Jan;
I went on paypal and - voila! Found how to download reports.
Very convenient!
My internist stopped taking insurance 2 years ago -- he eliminated some of the staff and reduced his prices by 30%. They charge you $25 to file the medical forms, but will give you a receipt for free. The fellow's my age said it is now a pleasure to NOT have patients yelling at his staff, he's not going to be in practice for more than 5 or 6 more years anyway. He doesn't take any medicare either.
When last I filed a paper 1040 it was almost a half-inch thick, so that end of the paperwork (1040-C) only adds a bit to the pile.
For what it is worth.
The money thing is the IRS. I would like to know who is responsible for the U.S. Post office letters I received last year asking me to discribe the items I repeatedly receive from out of the country. These were common form letters with check boxes for various items. I did not receive anything they were asking for and did not return the letters. None of there business.
Things are really easy here. Any item I send to Italy or Spain seems to get held up for a really long time at customs and the recipient usually pays out of pocket for PCB's. Go figure.
The world we live in is not what it was when I was a child, however, it is still a nice place. I remain amazed at how I can ship something to someone I have never met, a member of this forum, and always - ALWAYS- get paid. The members here are the most honorable folks I have ever had the pleasure to deal with. I am also extremely pleased that I can purchase items from areas that use to be BEHIND THE IRON CURTAIN.
I will miss the Tech diy store.
Tad
The money thing is the IRS. I would like to know who is responsible for the U.S. Post office letters I received last year asking me to discribe the items I repeatedly receive from out of the country. These were common form letters with check boxes for various items. I did not receive anything they were asking for and did not return the letters. None of there business.
Things are really easy here. Any item I send to Italy or Spain seems to get held up for a really long time at customs and the recipient usually pays out of pocket for PCB's. Go figure.
The world we live in is not what it was when I was a child, however, it is still a nice place. I remain amazed at how I can ship something to someone I have never met, a member of this forum, and always - ALWAYS- get paid. The members here are the most honorable folks I have ever had the pleasure to deal with. I am also extremely pleased that I can purchase items from areas that use to be BEHIND THE IRON CURTAIN.
I will miss the Tech diy store.
Tad
Not sure if Jackinnj has a real business (re-selling audio stuff) or not.
The IRS says it is NOT a business if it is a hobby with "no expectation of profit", regardless of IF you make a profit or not. This is my understanding based on reading IRS literature and talking to an accountant or two.
There are people with HORSE FARMS as a "hobby" too... etc...
Best to check the rules regardless of the 1099-K form filed. I'd check with an accountant who would know for sure.
Actually best to dump all the stuff in the lap of an accountant, especially if you can find one who likes audio stuff...
_-_-bear
The IRS says it is NOT a business if it is a hobby with "no expectation of profit", regardless of IF you make a profit or not. This is my understanding based on reading IRS literature and talking to an accountant or two.
There are people with HORSE FARMS as a "hobby" too... etc...
Best to check the rules regardless of the 1099-K form filed. I'd check with an accountant who would know for sure.
Actually best to dump all the stuff in the lap of an accountant, especially if you can find one who likes audio stuff...
_-_-bear
- Status
- This old topic is closed. If you want to reopen this topic, contact a moderator using the "Report Post" button.