What amount does Amazon report to IRS if you didnt receive a 1099
Does anyone happen to know what amount Amazon reports to the IRS if you didn't receive a 1099 because you didn't meet the threshold? I am wrapping up my taxes now and Im not sure If amazon A. reports total Income (all sales) or B. if they report only the amount Amazon has sent to my bank? I'm filling out the schedule C and I dont know if I need to enter my total sales and then deduct all the fees OR just put what Amazon sent me? They would both end up being the same outcome, one is just harder to figure out where to put everything. I have scoured the internet and Seller Central and they only talk about receiving a 1099, they don't say what amount they will report for those that do not receive one. Or at least the last week I cannot find it. thank for any help if anyone happens to know.. Yes, I understand I need an accountant, I will be getting one for next year because.. THIS...IS...NOT...FUN!!! thanks again
What amount does Amazon report to IRS if you didnt receive a 1099
Does anyone happen to know what amount Amazon reports to the IRS if you didn't receive a 1099 because you didn't meet the threshold? I am wrapping up my taxes now and Im not sure If amazon A. reports total Income (all sales) or B. if they report only the amount Amazon has sent to my bank? I'm filling out the schedule C and I dont know if I need to enter my total sales and then deduct all the fees OR just put what Amazon sent me? They would both end up being the same outcome, one is just harder to figure out where to put everything. I have scoured the internet and Seller Central and they only talk about receiving a 1099, they don't say what amount they will report for those that do not receive one. Or at least the last week I cannot find it. thank for any help if anyone happens to know.. Yes, I understand I need an accountant, I will be getting one for next year because.. THIS...IS...NOT...FUN!!! thanks again
16 Antworten
Seller_4zBzdtgCyS9EI
why does it matter what they report, just do your taxes. If they report, it would be your entire sales, before any deductions.
Steve_Amazon
Hi @Seller_21oHRkRoNKxhp,
Steve from Amazon here, thank you for the post. While I am unable to provide specific tax advice, I have provided several resources below with more information on Amazon tax guidelines.
State Tax Registration Numbers
You can also access a summary report by accessing the menu, selecting Payments, then selecting Reports Repository. From there you can select the date time frame you would like to generate and then download. This may help as well.
After review of these resources, if your question is still unanswered, I recommend that you create a case to Seller Support with your question and they can engage the Tax department.
Thanks,
Steve
Seller_BeWo5Xt3t43rn
The amount reported to the IRS is always the amount of money AMAZON processed from your buyers, in other words your gross sales. From that you would deduct your various business costs including fees and commisions AMAZON charged you, packing and shipping costs, spoiled/unsaleable returns, business license, payroll, warehouse costs, etc.
Seller_BeWo5Xt3t43rn
I would add that frequently overlooked is the forgiveness of what would otherwise have been a debt (refund you would have had to make) when AMAZON pays the buyer for an item never recieved. This actually is income AMAZON gave you constructively as IRS considers all monies paid by others that you were liable for income! It wipes out any losses from lost packages you otherwise would deduct, so do not deduct them!
Seller_hRcW3boFdNOVe
If you haven't received a 1099-K because you didn't meet the threshold of $20,000 in sales or 200 transactions, Amazon reports the total unadjusted gross sales from your account. This means all income generated from customer orders before any deductions for fees or costs.
You can find a breakdown of your account's finances by generating a Summary Report in the Reports Repository under the Payments tab. It's important to adjust your reports repository to match the fiscal year you are filing for.
Hope this helps, and best of luck with your tax preparation!
Seller_f230iEOxANw9R
Payments page. Payments Reports Repository
Custom Date Range. 01/01/23 till 12/31/23. "summary". Download pdf.
You can see all you need to see .
Seller_5tHvyB7e5ELWT
Amazon reports gross amount (letter A) on the 1099. If you are a cash basis tax payer, then part B is what you want but that is not what Amazon reports. Take the A # that Amazon reports and subtract from that the B # which is the amount of Amazon payments. There is a line where you can put the difference. My husband is a CPA but uses Turbo Tax for our very detailed tax return. There are places to report all deductions (miles traveled to get inventory) (dollars spent to buy inventory), etc. I sell only books, so this may not apply to you.
Seller_52pUzzgnsLDGs
Say your sales totaled $500 and that included money you collected for shipping AND money that AMAZON collected for sales tax. Oh, and maybe even a couple of bucks for gift wrap. You claim it all as income. That is how much you tell the IRS you made. $500. Then when you fill out your schedule C you deduct the amount you actually spent on postage and you also deduct the total sales tax that Amazon collected and paid for you to the various states (lump amount, not by state). Along with your other expenses, of course, i.e. mileage to the post office every day - make sure you have that all written down in your little mileage tracker, cost of packaging supplies, what you paid for the products that you sold (if you bought them in 2023), monthly liability insurance, advertising, rebates, refunds, everything. I'm really surprised people don't think about income and expenses until they are "wrapping up" their taxes. Wow. Good Luck.
