That is exactly where it is going to get interesting. It is what I was trying to get at earlier. My comment about the legislation passed in 2021 was because it is that legislation that mandated that payment companies like Venmo will now have to report $600.00 and above. Before, it was $20,000.00 and above or 200 transactions per year. I may have made a mistake by grouping groups like Reverb into that. So, my bad on that.
But, you make a great point. This is likely to cause massive confusion for folks who may be just selling stuff off to clear out the house, but who sell more than $600.00 per year. That will be reported to the IRS. But, if it is really a loss, many folks will be unable to prove that because it’s more than likely they no longer have the receipts.
