Anonymous
12/06/2022 09:35
Subject: So people will be taxed on venmo and zelle transactions?
Practically I think this is kind of a disaster. People who run small businesses have been using it as a tax cheat, but it’s going o be hard to distinguish between those people and the people that are collecting money for the class teacher gift or the shared summer rental or whatever. I’m not sure what the irs is going to do with all this information.
Anonymous
12/06/2022 09:34
Subject: So people will be taxed on venmo and zelle transactions?
Anonymous wrote:Anonymous wrote:No. It means the transactions will be reported, which means that if you are making money and that money is coming to you through Venmo you can no longer hide your income.
For example, my tenant pays the rent through Venmo. I’ve always reported the rental income, so Venmo reporting the same thing makes no difference to me.
If you’re not hiding your income, you’re fine. Are you a tax cheater?
No, of course not. Blaming already, huh? I was thinking about how many young people transfer money with their friends this way, they owe their friends for something, friends pay for something, ie an expensive trip and they get reimbursed, etc etc, all via venmo.
None of that is taxable income. It’s not an issue.
Anonymous
12/06/2022 09:34
Subject: Re:So people will be taxed on venmo and zelle transactions?
Anonymous wrote:I received about $1000 for a large Fourth of July party from several family members and put it all towards the food and drinks. Will this be taxed?
It doesn't matter if they paid you on Venmo or Zelle or by check or in cash. Reimbursement is not income.
Anonymous
12/06/2022 09:33
Subject: Re:So people will be taxed on venmo and zelle transactions?
Anonymous wrote:I received about $1000 for a large Fourth of July party from several family members and put it all towards the food and drinks. Will this be taxed?
No. Nothing has changed regarding what's taxable income.
Anonymous
12/06/2022 09:31
Subject: So people will be taxed on venmo and zelle transactions?
Anonymous wrote:Right, very little of the money I'm receiving via Venmo is income -- usually it's someone paying me back for an expense I covered all of and then we split after the fact. That isn't taxable. How am I supposed to report it to the IRS?
I have never used any of the payment systems, although was recently thinking of doing gifts with it, or sending larger money gifts to kids this way. Anyone do it this way?
Anonymous
12/06/2022 09:29
Subject: Re:So people will be taxed on venmo and zelle transactions?
I received about $1000 for a large Fourth of July party from several family members and put it all towards the food and drinks. Will this be taxed?
Anonymous
12/06/2022 09:29
Subject: So people will be taxed on venmo and zelle transactions?
You don't report reimbursement because it's not income.
Anonymous
12/06/2022 09:28
Subject: So people will be taxed on venmo and zelle transactions?
Anonymous wrote:Anonymous wrote:No. It means the transactions will be reported, which means that if you are making money and that money is coming to you through Venmo you can no longer hide your income.
For example, my tenant pays the rent through Venmo. I’ve always reported the rental income, so Venmo reporting the same thing makes no difference to me.
If you’re not hiding your income, you’re fine. Are you a tax cheater?
No, of course not. Blaming already, huh? I was thinking about how many young people transfer money with their friends this way, they owe their friends for something, friends pay for something, ie an expensive trip and they get reimbursed, etc etc, all via venmo.
In those cases, the kids are settling up, paying back, etc. Nobody is making income off of your examples, so tax implications do not apply
Anonymous
12/06/2022 09:27
Subject: So people will be taxed on venmo and zelle transactions?
Right, very little of the money I'm receiving via Venmo is income -- usually it's someone paying me back for an expense I covered all of and then we split after the fact. That isn't taxable. How am I supposed to report it to the IRS?
Anonymous
12/06/2022 09:25
Subject: So people will be taxed on venmo and zelle transactions?
Anonymous wrote:No. It means the transactions will be reported, which means that if you are making money and that money is coming to you through Venmo you can no longer hide your income.
For example, my tenant pays the rent through Venmo. I’ve always reported the rental income, so Venmo reporting the same thing makes no difference to me.
If you’re not hiding your income, you’re fine. Are you a tax cheater?
No, of course not. Blaming already, huh? I was thinking about how many young people transfer money with their friends this way, they owe their friends for something, friends pay for something, ie an expensive trip and they get reimbursed, etc etc, all via venmo.
Anonymous
12/06/2022 09:21
Subject: So people will be taxed on venmo and zelle transactions?
Anonymous wrote:Anonymous wrote:I think it became effective Jan 2022. So you can expect a 1099 from Venmo, PayPal, etc. in the next couple of months if you made over $600 on them this year.
I didn't, no small business here, but other people who have little side hustles will suffer. Although I see the point.
The point is that income is income. You were never entitled NOT to pay taxes on profits from your business. This just makes it harder for people to cheat.
Anonymous
12/06/2022 09:20
Subject: So people will be taxed on venmo and zelle transactions?
Anonymous wrote:I think it became effective Jan 2022. So you can expect a 1099 from Venmo, PayPal, etc. in the next couple of months if you made over $600 on them this year.
I didn't, no small business here, but other people who have little side hustles will suffer. Although I see the point.
Anonymous
12/06/2022 09:18
Subject: So people will be taxed on venmo and zelle transactions?
No. It means the transactions will be reported, which means that if you are making money and that money is coming to you through Venmo you can no longer hide your income.
For example, my tenant pays the rent through Venmo. I’ve always reported the rental income, so Venmo reporting the same thing makes no difference to me.
If you’re not hiding your income, you’re fine. Are you a tax cheater?
For example, my tenant pays the rent through Venmo. I’ve always reported the rental income, so Venmo reporting the same thing makes no difference to me.
If you’re not hiding your income, you’re fine. Are you a tax cheater?
Anonymous
12/06/2022 09:17
Subject: So people will be taxed on venmo and zelle transactions?
I think it became effective Jan 2022. So you can expect a 1099 from Venmo, PayPal, etc. in the next couple of months if you made over $600 on them this year.
Anonymous
12/06/2022 09:14
Subject: So people will be taxed on venmo and zelle transactions?
for those who have small businesses, payments thru those services will be taxable if over $600? when does this become effective?