I do Garage sales and Re-sell new items at the same time. Items that i bought for cheap and sold again for a profit. These year about little over $2500 made by people sending through Zelle
Would that effect my taxes? do i have to report it? im sure i will be getting a 1099-K from Zelle
Yes you would need to report the income you made and pay taxes on it.
There are 2 ways to report the income.
- If it is a hobby then the income is reported on schedule 1 for the full amount of the 1099 no expenses allowed to be taken
- If it is a business then it would be reported on a schedule C (self-employed income). You would report the 1099 as income and then deduct the expenses you have against making that income.
Here are a few helpful links
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