I see that places like EBAY and some of the Internet auction sites are now sending a 1099-k to sellers who sell more than $600 in one year.
From some discussion on other forums, it seems that those receiving the 1099-k have become a de-facto small business and need to file Schedule C where they would report gross receipts and subtract off costs.
Antiques and other collectables are considered to be investments and I was under the impression that these would be reported along with stock transactions as long term capital gains, but with the collectables status indicated to be subject to the 28% rate.
Does receiving the 1099-k cause a conflict with reporting the sale of the collectable as a long term capital gain rather than as business income?
For the sake of this question, please assume that I am a collector who would occasionally sell several duplicate items that are now redundant after a better example having been acquired rather than one of the tag sale types that buys hundreds of items and sells them on EBAY. I suppose the question would also apply to the case of wanting to liquidate the entire collection near the end of my life span, although in my case I will probably just gift the collection to my younger collector friends.
Thanks.
From some discussion on other forums, it seems that those receiving the 1099-k have become a de-facto small business and need to file Schedule C where they would report gross receipts and subtract off costs.
Antiques and other collectables are considered to be investments and I was under the impression that these would be reported along with stock transactions as long term capital gains, but with the collectables status indicated to be subject to the 28% rate.
Does receiving the 1099-k cause a conflict with reporting the sale of the collectable as a long term capital gain rather than as business income?
For the sake of this question, please assume that I am a collector who would occasionally sell several duplicate items that are now redundant after a better example having been acquired rather than one of the tag sale types that buys hundreds of items and sells them on EBAY. I suppose the question would also apply to the case of wanting to liquidate the entire collection near the end of my life span, although in my case I will probably just gift the collection to my younger collector friends.
Thanks.
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