In light of the changes that in tax year 2022, individuals earning more than $600 on TPSO's must file a 1099-K, I have been contacted by Stubhub that my reselling of season tickets will likely trigger a 1099-K file. My question is that I'm selling these tickets at a heavy loss (due to COVID) and would like to see how I should best file this.
For argument's sake, let's say I bought these tickets at $80/ticket for each game (let's say there are 40 games a season). I attended 10 of them and sold the other 30. Because of COVID and lower demand, I can only sell these tickets at $40/game, and let's say Stubhub takes $5 in fees, so I only get a net payment of $35/game.
1) Stubhub says that it will file a 1099-K for me with the $40/game (payment, not including fees). However, I'm actually incurring a $45 loss per game! How do I file this so I can factor in the cost basis, if this is allowed?
2) Since this is only occurring due to the change for the 2022 tax season, if I am able to file this capital loss, can I manually file a 1099-K capital loss for 2021 tax season? Since the season has games in both 2021 and 2022, I have been incurring a capital loss of ~$600 for 2021 games alone. Stubhub did not auto-trigger a 1099-K for 2021 since the limit was $20k.
3) If I sold on both Ticketmaster and Stubhub, would I have to file 2 separate 1099-K forms?
Thank you for all the help!
