1099-Ks and StubHub payments

[heyitsrabbit]

Given that StubHub is now going to be issuing 1099-K's for ticket sales exceeding $600 for 2022, if I use PayPal to receive my StubHub payments will the StubHub payments also be reported on my PayPal 1099-K (which will result in double counting)? Or does PayPal exclude StubHub payments from the 1099-K they send me?

[sharpiemarker]

@heyitsrabbit 

If you were charged a goods and services fee to receive these Stub-hub payments through PayPal, yes, PayPal will issue a 1099-K for goods and services payments. If Stub-hub uses PayPal Payouts, Stub-hub would pay the fees to payout so it may not be classified as a goods and services payment to PayPal. 

Ask Stub-Hub support about this. I have heard that rebates, commissions, survey proceeds via PayPal and such can be included in PayPal 1099s. Also talk to a tax professional. ask a tax pro https://www.justanswer.com/tax/

[heyitsrabbit]

StubHub deducted their fees and then sent the remaining money to me via PayPal - PayPal did NOT deduct any additional goods/services fees from what StubHub sent.  Based on your response would I be right in understanding that PayPal would therefore not include StubHub transactions in their 1099-K reporting since they didn't deduct any goods/services fees from those transactions?

[sharpiemarker]

@heyitsrabbit 

Yes, but others have reported that such payments could end up being reported. Besides, not all transactions on the 1099 may be reportable on your taxes. The 1099 is an information report. You have to keep good records/receipts and talk to a tax pro to sort through which transactions are required to be reported as income and what is eligible to be explained away as nontaxable as long as you keep good records. as an example, if you sold something at a loss, it might not be reportable so do talk to a tax professional.