If sold something, such as an old, used ATV, with payment of > $600 on Venmo, does this have to be reported as income? Does Venmo provide tax documents?
Yes this income needs to be reported and taxes paid on it. You should receive a 1099-K from Venmo for the amount you received.
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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