Can You Get Your Side Hussle on in 2022?

27 replies
Im going to start this off with a bit of a disclosure... I am not a financial advisor, A tax advisor, a CPA, or a Accountant. Im just a redneck with goals and dreams. If you question your personal situation after reading this, you might want to consult a professional.

And with that done... There are some changes coming on Jan 1 2022. There are 2 changes in particular that need to be looked at.

#1 If you accept payments from Paypal or Google pay, Or Apple pay, or Venmo or Stripe, or Facebook payments or Amazon Pay, or many other payment houses and make more than $600 in a year from that AND live in the United States, you will get a 1099 at the end of the year... MEANING that amount will be taxable, and that amount will be on record with the IRS.

#2 If you are selling on a platform such as eBay, or Etsy, or Facebook Marketplace ( and use Facebook payments ) Amazon, Bonanza and again many more and live in the United States and make more than $600 in a year from that, you will get a 1099 at the end of the year... MEANING that amount will be taxable, and that amount will be on record with the IRS.

So who should really be paying attention to this? well EVERYONE, I believe it will fall in 2 ways. Those that literally need to stop selling on Dec 31st, and those that need to understand the rules and move forward.

In this post in particular, I will focus more on the ones that should really think about quitting. I am sure every situation is different so again I am not advising anything here, just educating.

So if you are on Welfare, Collecting Food Stamps, On Disability, Unemployment or any other program that is compensating you for your inability to earn income, this may not effect you come January, but it will get darn ugly come January of 2023. This group specifically should REALLY think about stopping reselling - OR understand that you will need to step up your game to replace the Funds you are currently getting.

Just to make this clear, I am not bashing anyone on these programs - more power to you. I DO understand how important that money is, to you and your family. I am simply trying to educate you to what is happening and how it could effect that income.

When you go out and research these changes the general consensus is that it will effect the middle class the most. I personally dont see that being the case. I think its the financially strapped lower class that is going to get just crushed. There is the group I mention above, and then there is the group of how can I say this... on the dark side of the economy? Snatch and grabbers, Dealers, husslers, thieves etc... I think in 2023 there will be a HUGE hammer that falls. A HUGE hammer.

The flip side of this is those that need to understand the HOW and WHAT to do to actually take advantage of these changes. I will be making a post either tonight or tomorrow on my eBay thread.

I hope the best for everyone - hope you all had a great Christmas, and have a great New Year!
#2022 #hussle #side
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  • Profile picture of the author max5ty
    I remember this going into effect at around April I think?

    You listed some people this may affect... My first thought was those retired on social security... Because they can only make so much extra.

    Doesn't affect me because I have accountants. In reality nothing should change because it all should have been reported anyways.... But I also understand how this works for some...

    From what I understand, you can still claim your expenses... Like ad costs and shipping... Which means you need to keep detailed records.

    But this not only affects eBay, etc., But also those that do babysitting, lawn care, handyman, and any other online business that are paid through card processors?

    I'm at my island home all week off the coast of Maryland and heard the dock guy complaining about this and how paying for the service was going to change lol.

    I already pay six figures a year in taxes... But I'm not complaining because Elon payed 11 billion.... Yes billion. Can't fathom that...

    The taxman is watching.

    We now have over 20 1099s.

    This will cut down on some of the scam stuff in the US but don't think it will affect those from other countries?

    So now do you charge more for your ebay stuff to include taxes... Or do you take the losss from your profit to cover them?

    I don't do eBay or the other stuff because frankly I don't have the time... But was wondering if this puts US sellers at a disadvantage?
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    • Profile picture of the author savidge4
      Originally Posted by max5ty View Post

      I remember this going into effect at around April I think?
      Maybe correct, never noticed... but I would better than assume that something like these would be retroactive effective Jan 1

      Originally Posted by max5ty View Post

      You listed some people this may affect... My first thought was those retired on social security... Because they can only make so much extra.
      If you are on SS and not over 62.5 this will for sure effect you. If you are "Retired" and on SS ( As I understand it ) it wont directly effect you IF....

      So a story with this. My mother in Law, now 72 for the last 9 years or so her passed husband, and then the last few years just her have paid a pretty crazy amount of tax. Because they/she was pulling from an IRA and have some land rights with Gas and Oil payments I was never so concerned and just assumed the IRA income was undertaxed. I had offered to do their taxes for years, but of course they wanted the account to do that. Finally last year the Mother in Law allowed me to at least look at them.

      It was REALLY hard to figure it out at first, but then I threw her numbers into one of those free online tax deals and very quickly figured out because she was not paying withholding on $24K in SS and the added income of the IRA and the Gas and Oil, she was paying $10K in taxes. By including the 7% payment on the SS she went from owing $10K to a $300 refund Needless to say for the remainder of this year we adjusted her withholding to 10% and have already submitted the form for this year to bring it down to 7%.

      So all of that to maybe suggest I know what I am talking about when I say "On SS you can make as much as you want" what changes are the Medicare A and B payments ( the more you make the larger the payments are ) and in turn because those are higher, you obviously would get a smaller check. - BUT AGAIN, Im just a redneck with Goals and Dreams, and NOT a financial advisor.

      Originally Posted by max5ty View Post

      Doesn't affect me because I have accountants. In reality nothing should change because it all should have been reported anyways.... But I also understand how this works for some...
      In a "perfect world" this should technically not effect anyone... People only see the "paying taxes" part and dont understand the other financial benefits of just reporting it all. I actually ADDED income last year to maximize some deductions. It was like adding $2000 to get an additional $28,000 in deductions

      Originally Posted by max5ty View Post

      From what I understand, you can still claim your expenses... Like ad costs and shipping... Which means you need to keep detailed records.
      Absolutely, none of that has changed... and exactly the reason anyone and everyone that has a legit side hussle should have at the very least a DBA business license, and a business bank account. There are many things that effect your "Personal Life" that cross over to your "Business Life" and are in at least part business deductions... Like your Cel phone, or your water, electric or gas bill, your vehicle, your rent or mortgage - the whole notion for the little guy to think they need to be hiding money... its COSTING you money

      Originally Posted by max5ty View Post

      But this not only affects eBay, etc., But also those that do babysitting, lawn care, handyman, and any other online business that are paid through card processors?
      Anywhere you are being paid electronically and over the amount of $600, even little Kathy at 13 age that babysits will get the 1099.

      A little secret... Decentralized Crypto currency - no longer Decentralized. You EARN more than $600 be it through trades or selling coin OR and this is a BIG OR get paid in Crypto and run it throw an exchange to do so, you guessed it 1099.

      Originally Posted by max5ty View Post

      I'm at my island home all week off the coast of Maryland and heard the dock guy complaining about this and how paying for the service was going to change lol.
      The ONLY way it can "change" and it is all the buzz right now is cash only payments.. there are a TON of people that think Cryto is safe, but like i said above, it the payment runs through and exchange ( and most do ) it will get 1099'd if the value over the course of the year is in excess of $600

      The issue with CASH payments is you now have this wad of cash, and you have to make a car payment or rent or house payment or a credit card bill and you deposit more than $600 - guess what? thats reported to the IRS

      If you wondered why the President wants 80,000 more IRS agents... well here you go

      Originally Posted by max5ty View Post

      I already pay six figures a year in taxes... But I'm not complaining because Elon payed 11 billion.... Yes billion. Can't fathom that...
      AND thats not even the best part LOL... Its WHY he is paying that. There where parts of his contract stock options that were due to expire, meaning if he did not exercise the options, the options would be lost. So what exactly does someone with no income do? he sells stock. He had to sell 15 million shares to #1 acquire the 22 million stock options per his contract, and #2 pay the taxes on the sale So after its all said and done he now has 7 million more Tesla stocks than he did before OR an additional 7.7 BILLION more than when it started - The guy cant lose LOL

      Originally Posted by max5ty View Post

      We now have over 20 1099s.
      Its STACKS in and STACKS out for me, dont even know how many in this year, 100's

      Originally Posted by max5ty View Post

      This will cut down on some of the scam stuff in the US but don't think it will affect those from other countries?
      I dont know the answer to this, I would assume out of the States and not so much to worry about... but an American outside the States pretty sure it will effect them.

      Originally Posted by max5ty View Post

      So now do you charge more for your ebay stuff to include taxes... Or do you take the losss from your profit to cover them?
      Up and until this year, if you sold more than $20,000 ( there is an exact number I dont know what it is maybe 22K ) you would get a 1099, meaning we, My Wife.. me, my son - someone gets a few 1099's from eBay, and Amazon, and Etsy so nothing changes for us.

      Originally Posted by max5ty View Post

      I don't do eBay or the other stuff because frankly I don't have the time... But was wondering if this puts US sellers at a disadvantage?
      The HUGE fallout from all of this wont be till next Jan, Feb ( as in 2023 ) when people get the 1099's in the mailbox that crap will hit the fan. There will be a lot of "Wait WHAT?!?!?!?" going on. There are going to be a LOT of people that will be absolutely screwed and owe big money to the IRS and the new 80,000 Auditors. The 2nd to last thing on this green earth I would wish on anyone is to owe money to the IRS - let alone owing money to the IRS if you are on the list from the OP. I predict lives will be ruined across all financial levels
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  • Profile picture of the author Odahh
    The people all for taxing the rich will be the ones to get gotten as usual. And it will be even harder to get out of poverty without learning and following the rules.

    Now I am crazy so I see a lot of this a a change in how the economy is measured. So instead of gdp based on consumer spending there will be the measurement of business transactions. As more individuals run businesses. But it's more a suspicion.

    Anyway it seems tax law is almost more important for a small business person to learn than marketing and sales.

    As for must I saw the same explanation you gave but the genius part was to put it to a vote on Twitter instead of just selling the stock and having to attempt to explain that. As like 90 percent of people seem l to the he has hundreds of billions in cash.

    Those stock options where for 8 dollars or so from what2012-2014

    US citizens have to report income no matter where they earn it on the planet if outside the country 11 months out of the year the is an income tax exemption on the first 100k or so but i think the social security and Medicare taxes are required to pay..

    It be easier for most Americans if the irs sent out a form to people with all the w2 and1099 information that gets reported to them.
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  • Profile picture of the author IM2Pat
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    great post! What about someone desperate for a side hustle because they cannot take one more day of their current job but haven't found a new one yet?? Asking for a friend.
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    • Profile picture of the author Odahh
      Originally Posted by IM2Pat View Post

      great post! What about someone desperate for a side hustle because they cannot take one more day of their current job but haven't found a new one yet?? Asking for a friend.
      Start with getting a better job or one that will be more enjoyable. But the side thing has many options depends on skill and physical abilities . And willingness to work
      From knowing nothing about you I will suggest taking a butler or driver job and working for rich people keep their cars and their shoes shiny.
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    • Profile picture of the author max5ty
      Originally Posted by IM2Pat View Post

      great post! What about someone desperate for a side hustle because they cannot take one more day of their current job but haven't found a new one yet?? Asking for a friend.
      Not trying to answer for him...but if you get the time you should read the thread he started on getting a side hustle.

      It's like a whole course you can read, absolutely free.

      https://www.warriorforum.com/warrior...days-ebay.html
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  • Profile picture of the author laurencewins
    and thank goodness I don't live in the US, when it comes to these rules.
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  • Profile picture of the author savidge4
    So 2 things real quick. A correction on the SS and over the age of 65. You will be able to earn $51,960 and once you reach that level they ( SS ) will hold $1.00 for every $3.00 over you earn.

    then there is this video:


    Here is the deal.... having a legit business, set up as a DBA ( Doing Business As) and a bank account you could easily make $40,000 a year GROSS, and through deductions walk that to ZERO.

    Maybe to try and make this a bit clearer. Lets say eBay sends you a 1099 for $40,000 meaning you sold $40,000 worth of product. That $40,000 is then entered into the Schedule C portion of the tax form. You ARE NOT paying taxes on the $40,000 - you would be paying taxes on the $40,000 MINUS deductions Deductions being COG ( Cost of Goods ), Shipping, supplies, a new computer, a new printer, The business vehicle credit, .56 a mile so say 10,000 miles, that is a $5600 write off. You write off your cel phone, a portion of your Rent/Mortgage, Electric, Water, your internet, Advertising expenses, business cards and the list goes on.

    Anything LEFT is then what carries over as your income.

    Unless you think somehow some way you are going to sell your business, there is absolutely NO reason that you want to show the business as making a profit. Profit equals taxes... you can spend the money and write off the expense, or you pay the money to the IRS - Your choice.

    For myself personally, and some aspects of my business I have no intentions of selling, I will roughly do my taxes 2 times a year, Once in June ( mid point ) and again in Late October to November to get a good idea of what needs to be SPENT IE investments in my business. Again Tax bills are Money that could have been spent on your business and turned into deductions.

    Things can get REAL interesting if you create an LLC and file your business taxes separate from your own. and I will leave that at that. LOL
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  • Profile picture of the author max5ty
    @Savidge4...

    interesting about SS...I had never looked into it.

    Yes, you can write off a lot...

    insurance
    furniture
    any software you use
    any entertainment related to your business (party time)
    bad debt
    salaries and employee benefits
    any gifts to employees
    any legal fees
    even taxes

    So much to keep track of...it's worth having an accountant. You can deduct them too...

    https://www.irs.gov/publications/p535
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  • Profile picture of the author luciesmazanska
    Originally Posted by savidge4 View Post

    Im going to start this off with a bit of a disclosure... I am not a financial advisor, A tax advisor, a CPA, or a Accountant. Im just a redneck with goals and dreams. If you question your personal situation after reading this, you might want to consult a professional.

    And with that done... There are some changes coming on Jan 1 2022. There are 2 changes in particular that need to be looked at.

    #1 If you accept payments from Paypal or Google pay, Or Apple pay, or Venmo or Stripe, or Facebook payments or Amazon Pay, or many other payment houses and make more than $600 in a year from that AND live in the United States, you will get a 1099 at the end of the year... MEANING that amount will be taxable, and that amount will be on record with the IRS.

    #2 If you are selling on a platform such as eBay, or Etsy, or Facebook Marketplace ( and use Facebook payments ) Amazon, Bonanza and again many more and live in the United States and make more than $600 in a year from that, you will get a 1099 at the end of the year... MEANING that amount will be taxable, and that amount will be on record with the IRS.

    So who should really be paying attention to this? well EVERYONE, I believe it will fall in 2 ways. Those that literally need to stop selling on Dec 31st, and those that need to understand the rules and move forward.

    In this post in particular, I will focus more on the ones that should really think about quitting. I am sure every situation is different so again I am not advising anything here, just educating.

    So if you are on Welfare, Collecting Food Stamps, On Disability, Unemployment or any other program that is compensating you for your inability to earn income, this may not effect you come January, but it will get darn ugly come January of 2023. This group specifically should REALLY think about stopping reselling - OR understand that you will need to step up your game to replace the Funds you are currently getting.

    Just to make this clear, I am not bashing anyone on these programs - more power to you. I DO understand how important that money is, to you and your family. I am simply trying to educate you to what is happening and how it could effect that income.

    When you go out and research these changes the general consensus is that it will effect the middle class the most. I personally dont see that being the case. I think its the financially strapped lower class that is going to get just crushed. There is the group I mention above, and then there is the group of how can I say this... on the dark side of the economy? Snatch and grabbers, Dealers, husslers, thieves etc... I think in 2023 there will be a HUGE hammer that falls. A HUGE hammer.

    The flip side of this is those that need to understand the HOW and WHAT to do to actually take advantage of these changes. I will be making a post either tonight or tomorrow on my eBay thread.

    I hope the best for everyone - hope you all had a great Christmas, and have a great New Year!
    This all TAX thing is getting too wild and Im wondering who is gonna make any profits in 2030? lol
    I heard about this already in June 2021 but didint believe its gonna happen.

    I think long term investing is a best thing to do as all prices are rising
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    • Profile picture of the author Odahh
      Originally Posted by luciesmazanska View Post

      This all TAX thing is getting too wild and Im wondering who is gonna make any profits in 2030? lol
      I heard about this already in June 2021 but didint believe its gonna happen.

      I think long term investing is a best thing to do as all prices are rising
      Prices of many things are rising faster that the returns most people get from investments . Find some way to roll your biggest recurring expenses into some kind of business that legally allows you to write them off. And if you can invest from a business with your pretax dollars you are starting out with returns. From saving on taxes.

      There will be no getting the rich as the rich write the tax code. So the people that get gotten are to the poorer side and don't know the rules.

      Savage post many of the people I watch on YouTube George gammon a few months ago mentioned if you read and can understand the tax code it is the best way to start and set up a business.
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    • Profile picture of the author savidge4
      Originally Posted by luciesmazanska View Post

      This all TAX thing is getting too wild and Im wondering who is gonna make any profits in 2030? lol
      I heard about this already in June 2021 but didint believe its gonna happen.

      I think long term investing is a best thing to do as all prices are rising
      I guess this depends on how you look at it... the "Rules" haven't changed, its the enforcement of the rules that are changing.

      The absolute Irony here... if you actually understand the rules, and follow the rules, you will be further along financially. If you set up even the most basic of business structure ( a DBA ( Doing Business As) and open a business bank account ) you could EASILY earn $100,000 GROSS, and have a tax liability of $0.00 at the end of the year. Its NOT how much you make, its how much you SPEND ( and what you spend it on ).

      Every year the IRS comes out with a document that goes over all of the changes, and all the who how and whys of taxes. THIS YEAR... this document is a fun read, it is crazy stupid, The more of it I read the more absolute craziness I find. ( https://www.irs.gov/publications/p17 )

      Gems like this:
      • If you steal property, you must report its fair market value in your income in the year you steal it unless you return it to its rightful owner in the same year.
      • You must report Bribes and Kickbacks
      • Income from illegal activities, such as money from dealing illegal drugs, must be included in your income on Schedule 1 (Form 1040), line 8z, or on Schedule C (Form 1040) if from your self-employment activity

      They dont care how you got it, the IRS just wants its cut, and to a degree I say rightfully so.

      Think about this for a moment, Venmo transferred $159 Billion Dollars in 2020. I will bet that number is close to $300 Billion for 2021. I can only imagine that over 99% of that was moved around tax free.

      So what exactly is going on? I have a theory, and I will share it... We all watch the news, and people that do bad things MIGHT get arrested, and then they are immediately let out. Bad things being snatch and grab, or dealing or whatever... These people make a good amount of money, but it is not LEGIT money... they cant buy a house as an example. BUT if you simply report the income on your taxes, guess what? you just laundered all that cash - it becomes Legit money.

      So in many inner cities around the country they have been trying to figure out ways to get drug dealers specifically to buy dilapidated properties and fix them up. Baltimore Maryland as an example had a program that would allow an exemption of proof of income to BUY a property, but the issue was then the money needed to renovate the property, so the program kind of fell flat on its face. But NOW, The IRS / our Government has side stepped all of the laws pertaining to Laundering money, because once its reported on a tax form... Its Legit, and you dont have to run the cash through a bank to do it. Mark my words, in the next few years you will see crazy revitalization of inner cities.

      Originally Posted by Odahh View Post

      There will be no getting the rich as the rich write the tax code. So the people that get gotten are to the poorer side and don't know the rules.
      I love this stuff, No the rich DO NOT write the tax code. Business' on the other hand... Business interest write tax code.

      Let me throw something at you... Elon Musk is going to pay the most ever paid by one person in one year. If you in the slightest pay attention to his financial life you understand that amount he will be paying is directly correlated to the stock he personally sold, so he could turn right around and buy his contract shares and in essence double his personal stock holdings. So the question... How many houses did Elon Sell this last year? I believe the answer is 3 homes, and sold them for over 100 Million, He made profit on ALL of his homes, and yet look at 2020 where he sold 4 homes and filed a big fat $0.00 in personal income.

      THIS has NOTHING to do with the rich getting richer... this has NOTHING to do with social or economic lines. This has EVERYTHING to do with playing the game, and playing by the rules. Everyone is so busy complaining about the game, and trying to do everything they can to cheat the game, and yet if the actually would justlearn the rules, they would be ahead.

      I dont care who you are and what your circumstances are, if YOU are using the 1040EZ form to do your taxes - your an idiot - plain and simple - and at the end of the day you DESERVE to pay taxes.

      There is a link to the IRS pub 17 above in this post... start there - educate yourself, not on the GAME, but the RULES to the game. Learn how to play the game, and your financial life will be all the better for it.
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  • Profile picture of the author max5ty
    Saw this "breaking" story and it reminded me of this thread.

    Sometimes the comments are better than the story...

    https://www.foxnews.com/us/venmo-use...al-requirement
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    • Profile picture of the author savidge4
      Originally Posted by max5ty View Post

      Saw this "breaking" story and it reminded me of this thread.

      Sometimes the comments are better than the story...

      https://www.foxnews.com/us/venmo-use...al-requirement
      Tax the rich they say...they don't pay their fair share... Uh ok.

      I liked the comment that someday they would find a way to tax the cash... They will... They are going after any deposits made over $600.

      If people only knew.... ever notice when you goto the bank and withdraw cash they run it through a "Money Counter"? did you know said money counter tracks the serial numbers of the bills? When you make a cash deposit, they run it through same said "Money Counter". So in a way they kind of understand who the money came from and who it went to. BUT don't worry its just a data base.. they will never use it.

      And then there is the whole crowd... Ill just pay cash for everything... car payments in cash? House payments? Utilities? credit card payments?

      If you are trying to "Hide" THEY ( the IRS ) have you coming and going... they reality is as a good American, you should just be reporting it all, getting the deductions, and getting a larger return. And THAT is the funny part... "I need the money" as one person in the article said.... Uh you dont want more? Oh thats right you are cheating the system and thinking your getting ahead, and in reality, your losing. Its silly really.
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  • Profile picture of the author art72
    While I appreciate the information - forgive my ignorance, but I was under the impression anyone making $600 or more online - was already liable for taxes. If this this wasn't true prior - please excuse me, momentarily while I smash my head on a door for NOT KNOWING that people were NOT being taxed online prior?
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    • Profile picture of the author savidge4
      Originally Posted by art72 View Post

      While I appreciate the information - forgive my ignorance, but I was under the impression anyone making $600 or more online - was already liable for taxes. If this this wasn't true prior - please excuse me, momentarily while I smash my head on a door for NOT KNOWING that people were NOT being taxed online prior?
      This is a change in "Reporting" and not the actual tax liability. Prior to Jan 1st 2022, you would have had to make 200 transactions in total with a total amount over $20,000 in order to get a 1099-K from say e-Bay or Amazon. The cash apps I do not believe had to report at all? - I could be wrong about that, but if they did, it would have followed the same 200/$20,000 rule.

      The whole Biden said he wasn't going to raise taxes on the poor and middle class is again amusing to read - or listen to. Basically if you EARN money, you are supposed to report it. That obviously wasn't happening - "voluntarily", so now its reported.

      Once again I am a redneck with a DBA and a Business Bank Account, I'm not in any way shape or form a financial advisor.

      Say you are working at Walmart, you make $10.00 an hour, you earn $20,000 a year and you sell stuff on eBay or Facebook Marketplace ( even better because that would be cash ) and you earn say $5000 a year doing that stuff.

      If you are selling personal items... chances are better than good that you are selling items for less than what you paid for them. You buy a couch new for $500 and a few years later you sell it on Marketplace for $200. You DO NOT have to report that income, You are selling at a LOSS. for good measure as of Jan 1st, I would keep record of the transaction. And to be overly clear, because it is a personal item you CAN NOT report the LOSS.

      What happens if you bought a couch for $500 ( and later sold it for $800? You obviously are collecting $800, BUT only $300 of that is actual "Income" Total sales price minus COG ( Cost of Goods ) is what is considered "Income". Again after Jan 1st 2022 you will want to at the very least keep records of this.

      So why exactly do I find the whole situation laughable? The moment you start filling out the Schedule C form on your taxes, there is a litany of deductions. COG being the most basic. The cost of your internet service, your cell phone bill, a portion of your house bills ( rent/mortgage, electric, Gas, Water ), travel expenses, the time and resources to clean the items you are selling, All those shiny objects you buy to "Learn" from - yes those would be deductions. Bought a new computer? deduction, Tools, office furniture, Business cards, the cost of Google Ads / facebook ads.

      Again I cant say this enough, the MORE familiar you are with TAX CODE, the more money you will make. If you OWE money to the IRS after doing your taxes... that means you did not SPEND enough in assets. Do you want to write the IRS a check, or have new tools, or computer, or whatever? The only catch is you have to spend the money prior to Dec 31st... you cant get into April and say damn I should have spent more.

      For the average person that thinks taxing the rich is a good idea.. they need to pay their fair share. Let me throw some light on the idea, and you will see just how silly it is. If you make $1,000,000 and are taxed at 40% and at the end of the year you owe no taxes, that means you understand deductions. So it would not matter if you were taxed at 90%, you would still not owe any taxes.

      Politicians are LYING to you, OR they are just that stupid... But basically the game here is "Look we are taxing the rich more" but you can raise the tax rate all you want, its not until you see them ( the Gov ) removing deductions, will you see an increase in Tax revenue from the "Rich" and we all know that is not going to happen.

      If you look at the premise of the Build Back Better plan costing ZERO dollars... the rich are going to pay for it, its a straight up LIE. There is not a single change let alone reference to removing tax deductions in any of the 1500+ pages of that piece of legislation.

      But again, the SECRET of the "rich" is TAX CODE, the little guy working at Walmart, with a side hussle can play the exact same game.
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    • Profile picture of the author 1Bryan
      Originally Posted by art72 View Post

      While I appreciate the information - forgive my ignorance, but I was under the impression anyone making $600 or more online - was already liable for taxes. If this this wasn't true prior - please excuse me, momentarily while I smash my head on a door for NOT KNOWING that people were NOT being taxed online prior?
      You've always had to report your online income. It's not even about enforcement. Prior to now, if you didn't report and were audited, you'd be in doo-doo.

      Don't ever get your tax info from Warrior Forum. My sister is a CPA. And I have fact checked Warrior Forum bull with her in the past. And it never passes.

      Quick example --

      If you buy a computer for $1000. But also use it for entertainment? You can only deduct a PORTION of that $ 1000.

      But WaFo members will tell you, you can deduct it all.

      No.

      Won't pass an audit.

      WaFo tax advice is cut through people's personal political opinion of what they think "should" be true.

      But is not.

      Not per the actual IRS.
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      • Profile picture of the author savidge4
        Originally Posted by 1Bryan View Post

        Don't ever get your tax info from Warrior Forum. My sister is a CPA. And I have fact checked Warrior Forum bull with her in the past. And it never passes.

        Quick example --

        If you buy a computer for $1000. But also use it for entertainment? You can only deduct a PORTION of that $ 1000.
        No offense here...but case a point about listening to WF about taxes...

        Section 179 in the Tax Code CLEARLY states that as long as the business use is ABOVE 50% Business, the item is a write-off. BUT if you only use it 40% of the time for business and 60% of the time for personal use... then the deduction would be limited to 40% of the cost.

        A good place for anyone that is going to run a business is to read the code. Start here Pub 535: ( https://www.irs.gov/forms-pubs/about-publication-535 ) and then click to open the Pub 535 PDF, and this goes over specifically what you can deduct, and cant, and the conditions to doing so

        Another good read is Pub 334: ( https://www.irs.gov/forms-pubs/about-publication-334 )

        Look I have nothing against CPA's... they are doing their job... but more often than not the venture far to the side of caution. I am in no way saying lie cheat and steal..BUT I am saying instead of just handing over all your receipts and allowing someone that "knows better" to do it for you... Due diligence is in order, read up on the topic, Understand what you can and cant deduct, what you have to and maybe not have to report.

        The end result of your taxes are only as good as the information put into them... and if you just keep basic records, you will get a basic return... but if you keep specific records of anything and everything, you will end up with a more detailed, and probably beneficial to you return.
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  • Profile picture of the author writeaway
    I'm working on building a new online business every other week

    I have a cheap VA army so the idea is to build, test, optimize, stabilize, build the next one

    Small streams of income when spread out a large network adds up to a nice river of income...

    which can then be used to build even more assets

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  • If I am not mistaken, yes, you can.
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  • Hell of a thread full of interesting fun facts for us entrepreneurs.

    Noticed you mention Elon who recently manipulated the Crypto market again with a simple "harmless tweet".

    https://www.ndtv.com/offbeat/elon-mu...gecoin-2732008

    Also...

    Looks like the IRS will be demanding Facial Recognition to access your own records.

    https://us.yahoo.com/news/irs-wants-...171738919.html

    Love this caveat included in the article...

    But ID.me's $86 million contract with the IRS has alarmed researchers and privacy advocates who say they worry about how Americans' facial images and personal data will be safeguarded in the years to come.
    There is no federal law regulating how the data can be used or shared.

    Who makes these new laws? The same people being accused of insider trading? Hmm.
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    • Profile picture of the author savidge4
      Originally Posted by Profit Traveler View Post

      Hell of a thread full of interesting fun facts for us entrepreneurs.

      Noticed you mention Elon who recently manipulated the Crypto market again with a simple "harmless tweet".

      https://www.ndtv.com/offbeat/elon-mu...gecoin-2732008

      Also...

      Looks like the IRS will be demanding Facial Recognition to access your own records.

      https://us.yahoo.com/news/irs-wants-...171738919.html

      Love this caveat included in the article...

      But ID.me's $86 million contract with the IRS has alarmed researchers and privacy advocates who say they worry about how Americans' facial images and personal data will be safeguarded in the years to come.
      There is no federal law regulating how the data can be used or shared.

      Who makes these new laws? The same people being accused of insider trading? Hmm.
      Some interesting details from this; Dogecoin is sitting at 2x of what the American Dollar is "worth" - think about that one for a moment. Inflation, debt ratio, Foreign Currency Reserves, Note yields etc etc the American dollar is worth $.0773. Dogecoin is sitting at $.14 right now

      There was a series of tweets a while back, where the official Dogecoin Twitter account tweeted Musk being the "Unofficial" CEO... in the same time frame, Musk tweeted not only was he going to be the first Trillionaire, BUT the first Dogecoin Trillionaire. Tell me that Musk asking McD's to accept Doge doesn't sound like he is more than just invested in the coin? more like he OWNS the coin.

      ID.me All by itself, its standard Govt operation... The whole reason for the contract is because of a "breach" within Equifax. Did you know the ENTIRE Social Security Database was breached a number of years ago? Were you aware in 2019 Facebook's entire 530 Million user data base was breached, and then was on the "Open" dark web market in 2021?

      I simply dont believe there is such a thing as "Online Security" and the more we press to have these large databases of such sensitive information... we are just asking for trouble.

      Throw into the mix, Mr. Buttigieg's unveiling of how the $1.2 Trillion Infrastructure plan is to be spent... less on actual Infrastructure, and more on Children... on Traffic Cameras, and Facial recognition cameras. How exactly do Facial Recognition cameras work without a facial database? Oh wait... they will have one. MARK MY WORDS.. there will be a whole lot of wrong place at the wrong time, that comes out of that one.

      What gets REAL interesting... to log on to the IRS you will have to send a selfie video... each and every time you log on. I personally log on OFTEN. I personally log on from behind a pretty robust firewall, and a desktop computer that by design does not have a camera - because the slightest slip up and you can give "Permission" to use said camera.

      At some point there will be an APP. within the APP will obviously be access to YOUR camera. It WILL NOT be a single use authorization of use..it will be a FLAT Authorization of use... meaning at any time for any reason deemed valid, they can and probably will access your camera and audio and listen and watch - Much like Alexa and Google home products. Or iPhone and Android phones.

      What gets interesting is being someone that stays up to date with tech..it seems to me that Blockchain, would be a better solution. An NFT form of ID, There can only be one... and its ownership would be trackable. If say a identity thief were to get my NFT ID there wuld be a transparent record of it moving from MY wallet to THEIR wallet.. oh wait that sounds secure now doesn't it?

      And yet... we are pressing forward with a technology that basically has no rules of law in regards to use and sharing... and be it a third party or the Govt... its not going to be pretty.

      Current and future "Privacy Laws".... they really dont exist... they are a series of laws that allow us to think we are protected... we are not in the slightest "Protected" we are infringed apon every moment of our day. Just ask those that were arrested for Jan 6th violations... Phone location was a key factor in determining location. Bank records were used... and not a Subpoena one was requested or issued in either instance. I dont care what side of the Jan 6th discussion you fall onto... the absolute greater issue is Personal Privacy - and we don't have any... and any amount we might have is just sitting on a server waiting to be breached.
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      • Originally Posted by savidge4 View Post

        Some interesting details from this; Dogecoin is sitting at 2x of what the American Dollar is "worth" - think about that one for a moment. Inflation, debt ratio, Foreign Currency Reserves, Note yields etc etc the American dollar is worth $.0773. Dogecoin is sitting at $.14 right now

        There was a series of tweets a while back, where the official Dogecoin Twitter account tweeted Musk being the "Unofficial" CEO... in the same time frame, Musk tweeted not only was he going to be the first Trillionaire, BUT the first Dogecoin Trillionaire. Tell me that Musk asking McD's to accept Doge doesn't sound like he is more than just invested in the coin? more like he OWNS the coin.

        ID.me All by itself, its standard Govt operation... The whole reason for the contract is because of a "breach" within Equifax. Did you know the ENTIRE Social Security Database was breached a number of years ago? Were you aware in 2019 Facebook's entire 530 Million user data base was breached, and then was on the "Open" dark web market in 2021?

        I simply dont believe there is such a thing as "Online Security" and the more we press to have these large databases of such sensitive information... we are just asking for trouble.

        Throw into the mix, Mr. Buttigieg's unveiling of how the $1.2 Trillion Infrastructure plan is to be spent... less on actual Infrastructure, and more on Children... on Traffic Cameras, and Facial recognition cameras. How exactly do Facial Recognition cameras work without a facial database? Oh wait... they will have one. MARK MY WORDS.. there will be a whole lot of wrong place at the wrong time, that comes out of that one.

        What gets REAL interesting... to log on to the IRS you will have to send a selfie video... each and every time you log on. I personally log on OFTEN. I personally log on from behind a pretty robust firewall, and a desktop computer that by design does not have a camera - because the slightest slip up and you can give "Permission" to use said camera.

        At some point there will be an APP. within the APP will obviously be access to YOUR camera. It WILL NOT be a single use authorization of use..it will be a FLAT Authorization of use... meaning at any time for any reason deemed valid, they can and probably will access your camera and audio and listen and watch - Much like Alexa and Google home products. Or iPhone and Android phones.

        What gets interesting is being someone that stays up to date with tech..it seems to me that Blockchain, would be a better solution. An NFT form of ID, There can only be one... and its ownership would be trackable. If say a identity thief were to get my NFT ID there wuld be a transparent record of it moving from MY wallet to THEIR wallet.. oh wait that sounds secure now doesn't it?

        And yet... we are pressing forward with a technology that basically has no rules of law in regards to use and sharing... and be it a third party or the Govt... its not going to be pretty.

        Current and future "Privacy Laws".... they really dont exist... they are a series of laws that allow us to think we are protected... we are not in the slightest "Protected" we are infringed apon every moment of our day. Just ask those that were arrested for Jan 6th violations... Phone location was a key factor in determining location. Bank records were used... and not a Subpoena one was requested or issued in either instance. I dont care what side of the Jan 6th discussion you fall onto... the absolute greater issue is Personal Privacy - and we don't have any... and any amount we might have is just sitting on a server waiting to be breached.

        Well that was lot to chew! And loving every morsel.


        Fantastic insights. Love this place here where all colors of necks can interact!


        More scary than Jan 6th is the system behind it in the first place. People in high places are COMPROMISED. That is not a good feeling when extremists is in the convo.


        But back to privacy you are spot on.


        But this rebel this and rebel that attitude currently. People do not want to follow rules these days will they stop paying taxes?


        What amazes me is while watching a Youtube video of a guy that just got his Crypto Wallet drained for $11,000 he seemed like it was not a crime more of an inconvenience.

        Stating it was just his profits not his initial investment. That also blows my mind.
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        • Profile picture of the author savidge4
          Originally Posted by Profit Traveler View Post

          But this rebel this and rebel that attitude currently. People do not want to follow rules these days will they stop paying taxes?


          What amazes me is while watching a Youtube video of a guy that just got his Crypto Wallet drained for $11,000 he seemed like it was not a crime more of an inconvenience.

          Stating it was just his profits not his initial investment. That also blows my mind.
          It comes down to a matter of LAW. LAW has not even come close to catching upto modern times. You throw into the mix that Wallet theft crosses State lines if not Sovereign lines and server locations and so on and so forth, and it basically ALL falls on the FBI. You have to start locally, and they simply are not trained, let alone educated on how to proceed.

          We literally live within a world of lawlessness. The "Bad Actors" KNOW they won't get "Caught" and the "Good Actors" KNOW there is not much they can do. Like I said earlier, there is no such thing as Internet security.

          The flippant response - Aw it was just my profits... its quite literally a conditioned response. THAT is literally the world we live in - I would almost... Almost go so far as to say that crime only exists in the OFFLINE world. Once a "Crime" passes international lines... its pretty much over with.

          I personally do not have a "Digital Wallet" The absolute stupidest thing ever... Hey let me put something of value in this Internet kept file, that will be breached.... That is exactly what they are. I invest in Crpto, but I as of right now am using Webull primarily simply because I do not have actual physical / digital ownership of what I am trading... very much like stock... I am simply mitigating my liability. I will NEVER lose my asset - In theory.

          So then we have hot and cold wallets right...online and offline wallets... sounds great right? And with the IRS wiggling around now... Moving an asset to a cold wallet ( offline ), will pass...BUT moving an asset from Cold to Hot constitutes a gain... Because the asset is being introduced onto an exchange right?

          So to make that a bit more clear. you have $10K in any crypto,and you move that to a cold wallet.. thats fine... but then at some point you move the $10k back onto the exchange, because you are going to sell it... well thats going to be a report $10k gain for the $10k entering the exchange, and then another $10k gain for the sale of the asset. in total you in more than theory will receive a 1099 for a $20K gain. ( at least this is how I am reading the requirements of platform documentation and 1099 requirements )

          Its just kind of ugly all the way around - Its LAWLESS
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  • Profile picture of the author spartan14
    Wel what about other countries ? They are also affected by this tax ?
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    • Profile picture of the author savidge4
      Originally Posted by spartan14 View Post

      Wel what about other countries ? They are also affected by this tax ?
      Not that I am aware of, just the States.
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  • Profile picture of the author Profit Traveler
    COLLECTIBLES.

    It's huge...been huge will always be huge.

    Glitter Gloves, Dinosaur Bones, Air Force Ones Sneakers, ConYe oh he got rid of the Con haha "YE" Sold out launches of shoes in minutes.

    Tom Brady's Last Touch Down Football sold at $500,000!

    But he just announced he was coming out of retirement so ..... sorry.

    I was watching a video of guy that flips luxury watches making serious bank.

    You just never know where the riches could be sometimes.

    What one country calls waste another country would call Gold if you were importing and exporting.

    There are Celebrity Dumpster bandits scanning the garbage of Celebs.

    I remember the infamous Paris Hilton Storage Locker she forgot about and let go to auction. Ugly. and Super Personal


    One idea...Observe what is popular and sells alot and what about it breaks alot and needs replacement? Become the go to guy/gal for that item.
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