Don't mistake that as similar to a CTR under the Bank Secrecy act... The $600 reporting threshold only applies to issuing 1099s to your contractors and suppliers, and even then only if you plan to claim it as an expense on your taxes - And primarily, this applies to business expenses; just about everything we mere humans can buy (that we can claim on our taxes) for over $600 already comes with a document trail a mile long.niteliteone said:The only thing I cannot find a work around for is the Mandate in Obamacare to report any and all transactions over $600 to the IRS.
This was told to me by "Fresno Coin Gallery" where I sell my refined gold. Any transaction or culmination of transactions over $600 must be reported. This was further re-enforced by the 2 scrap yards where I sell the rest of my metals. This was in all the news outlets last Sept. 2012 when they announced the delay in implementing it.chlaurite said:Don't mistake that as similar to a CTR under the Bank Secrecy act... The $600 reporting threshold only applies to issuing 1099s to your contractors and suppliers, and even then only if you plan to claim it as an expense on your taxes - And primarily, this applies to business expenses; just about everything we mere humans can buy (that we can claim on our taxes) for over $600 already comes with a document trail a mile long.
You don't need to tell Obama every time you pay the rent, buy a riding mower, or fill the heating oil tank (well, that last one probably doesn't apply in CA ). You don't even need to tell him about spending a few grand a year on the lawn care service, as long as you don't claim it on your taxes. On the flip side of that, though, any time you find a way to make over $600 a year from a single source, lucky you, expect a 1099 for your effort. Key phrases there, "$600 a year" and "single source" - Shop around.
Ever wonder why so many tradesmen offer a "cash discount"? Make no mistake, they've built enough of their markup into their prices to deal with a few percent for processing plastic.
In both those cases, they have interpreted the new regulations as as you counting as an "unincorporated independent contractor" of theirs (as a supplier of goods). They have done so incorrectly:niteliteone said:This was told to me by "Fresno Coin Gallery" where I sell my refined gold. Any transaction or culmination of transactions over $600 must be reported. This was further re-enforced by the 2 scrap yards where I sell the rest of my metals.
I don't understand why you have chosen to disagree with my original post :roll:chlaurite said:In both those cases, they have interpreted the new regulations as as you counting as an "unincorporated independent contractor" of theirs (as a supplier of goods). They have done so incorrectly:niteliteone said:This was told to me by "Fresno Coin Gallery" where I sell my refined gold. Any transaction or culmination of transactions over $600 must be reported. This was further re-enforced by the 2 scrap yards where I sell the rest of my metals.
...And...
- Only filed for payments made for services and the like, and is explicitly exempt from buying of merchandise.
- Scrap yards, as of present, DO NOT FILE a 1099 for customers who sell them metal scrap, as it is ”merchandise.”
In addition, some business-related payments do not have to be reported on Form 1099-MISC, although they may be taxable to the recipient. These include
- payments to corporations (except for incorporated lawyers)
- payments for merchandise, telephone, freight, storage, and similar items, and
So no, they really don't need to ding you for a 1099. 8)
Note, though, that gold and silver specifically fall under an entirely different set of rules than the new Obamacare 1099 crap, but for the most part, US-issued coinage counts as exempt. As for what we do around here on the forum... Well, not so much.
Sorry, I didn't really mean to get into an argument over it, I agree with 99% of your post. You mentioned "The only thing I cannot find a work around for is the Mandate in Obamacare to report any and all transactions over $600 to the IRS", however, and I figured I might save you a bit of hassle by clearing up some all-too-common misinformation.niteliteone said:I don't understand why you have chosen to disagree with my original post
Three reasons (which my linked citations support - Not merely randomness "pulled out of my head"):niteliteone said:So now show where I was wrong in that we must report any transactions over $600 dealing with this ""For Profit"" venture we are involved with. Not some unrelated variables you pulled out of your head.
No argument here, only peaceful banter. 8)chlaurite said:Three reasons (which my linked citations support - Not merely randomness "pulled out of my head"):
- Normal (non-PM) scrap doesn't count for a 1099 because it counts as specifically exempted "merchandise".
- "We" count as the sellers, not the buyers and don't need to report anything, just pay our taxes due.
- Non-coin Gold and silver do get you a 1099, but not because of Obamacare.
Peace - Feel free to disregard this, but you do yourself a disservice to accept any unnecessary 1099s.
I receive 3 - 1099's each year related to this hobby/income, as required by state and federal laws.but you do yourself a disservice to accept any unnecessary 1099s
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