Already filed and received a 1099K for $2000 for cleaning out closet do I amend taxes?

[ThomasM125]

If you didn't report the income that is listed on the form 1099-K, then you will need to amend your tax return to report it, assuming it increases your tax liability.

[vffallin]

Even if it was selling off personal items (cleaning out closet) and it was 50 transactions $2,000?  My federal has been excepted but not state yet. Do I need to wait for both and wait for the refund to hit my account before I amend?

[KrisD15 · Accepted solution]

YES

You'll want to wait until the refund is issued if you can, you don't want 2 returns in the IRS system at once. 

HOWEVER if you'll owe more tax, make sure that gets paid before "Tax Day" April 18th.

You will need to value the clothes you sold and match that to what you received, there may not be much if any profit and you may not owe more tax, in which case you will not need to file an amended return. 

@vffallin 

I stand corrected as far as filing a 1099-K. That Form reports transactions, but not profit or loss. The form itself is not reported. 

[Edited 02/10/2022 6:27pm PST}

[Hal_Al]

Q.  I already filed and later received a 1099K for $2000 for cleaning out closet. Do I amend taxes, even if it was selling off personal items (cleaning out closet).

A.  No, unless you sold individual items for more than you originally paid for them (unlikely). You must report the profit on any one  item even if the other 49 were sold at a loss. There is no requirement to report a 1099-K.

References:

https://ttlc.intuit.com/community/tax-topics/help/do-i-have-to-report-personal-items-that-i-sold/00/...

https://ttlc.intuit.com/community/state-taxes/discussion/i-live-in-illinois-for-2021-my-wife-was-sel...