topic Paypal and Venmo in Get your taxes done using TurboTax

Paypal and Venmo

jv32 — Mon, 09 Mar 2026 11:39:12 GMT

I am asking for my husband that does many transactions through PayPal and Venmo. What exactly needs to be claimed and/or filed? I understand the change if it is put in as a sale. It is not a purchase and is friends and family. That does not need to be disclosed, correct?

Re: Paypal and Venmo

MaryK4 — Wed, 06 Apr 2022 23:50:09 GMT

If you sold personal items but did not make money, you do not have to report. You would also not have to report any repayments made by others. Unfortunately, just because you do not have to report on the tax return, the IRS may ask for the records, so at the very least keep copies of the statements for at least three years.

Re: Paypal and Venmo

jv32 — Wed, 06 Apr 2022 23:52:51 GMT

How would it be proven whether there was money to be made or not? Such as if a personal item was sold but it was through friends and family?

Re: Paypal and Venmo

MaryK4 — Thu, 07 Apr 2022 00:02:04 GMT

Realistically. the IRS will place a threshold amount that is more realistic but in general, many people won't even be targeted for this but something else on the return. It is up to the taxpayer to prove income or deductions. As a tax professional, I would say anytime a transaction occurs keep a diary of who why and when the transaction occurred.. @jv32