We are happy to report that, thanks to your efforts, Congress has restored the original 1099-K reporting threshold of $20,000 and 200 transactions. This change will prevent millions of Americans who are selling used, personal items from receiving unnecessary and confusing tax forms.
This change wouldn’t have been possible without the voice of the eBay Main Street community. Thank you for speaking up and making your voice heard!
Sincerely,
The eBay Government Relations Team
So this will be the case for all 1099-K including Amazon?
Starting when? … for all of 2025 reported in Jan 2026 or for all of 2026 reported in Jan 2027?
It went into effect with the 070425 signing of the OBBBA (“One Big Beautiful Bill Act”), which repealed the previous plan under the ARPA (“American Rescue Plan Act of 2021”), and in this specific regard is retroactive to 2022.
eBay is probably assuming a little more credit than is actually due…
As is par for the course, Amazon\s Editorial Team hasn’t yet updated the SHC’s “IRS Form 1099-K – Form Generation and Payee Information FAQ” (link) to reflect this change.
I ask this sincerely, how is this good? All the old law did was make people report income they were going to not report otherwise and provided traceability into it as a prompt to do so. People who didn’t like the low thresholds were basically saying, I don’t want to pay taxes on this income. What am I missing otherwise?
The proposed threshold was $600. In many cases ebay and garage sale sellers would have had to keep records for items they sold that were purchased many years ago, often selling for less than they paid.