This stuff was always taxable if you made a profit, even a garage sale is taxable if you sell something for more than what you paid for it. It used to be the honer system, now there is evidence that's the only difference.
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.
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@84xfirez-51 Do you really believe that they are just going after the fat cats? They always say that, then they start going after the average taxpayers because it's easier and they actually collect more money in the long run. |