Beware of of the "latest and greatest" scam

[North Idaho Wolfman]

If someone reports back to you that they "know where to get something" your looking for and they give you a name and an email (normally a Gmail) DO NOT EMAIL THEM!
They will steal your email address and use it in future scams against others!
And if you are gullible / foolish / desperate enough to fork out money for anything, they will not have it!

 

[radas]

Always keep conversations in PM and always use PayPal (NOT friends and family) to CYA. It doesn't hurt to vet the buyer or seller by having a quick phone call too, most of these scammers reside overseas.

 

[DustyRusty]

Common on most forums today. I Google the email address of every new registrant on my forums, and I usually find the bad apples. If a forum uses cautions in how it admitted new members, there would be fewer scammers to take advantage of the gullible members.

 

[lynnmor]

Always keep conversations in PM and always use PayPal (NOT friends and family) to CYA. It doesn't hurt to vet the buyer or seller by having a quick phone call too, most of these scammers reside overseas.

I make and sell some tractor parts that are no longer available. PayPal policy now will send me a 1099 when my sales go over $600 in a year, goodbye PayPal, checks or cash only now.

 

[radas]

I make and sell some tractor parts that are no longer available. PayPal policy now will send me a 1099 when my sales go over $600 in a year, goodbye PayPal, checks or cash only now.

That's your business decision to avoid paying taxes on business income but expect folks to be leary of paying someone on the internet via cash or check. In-person is a whole 'nother story, but then again, if the IRS wants to audit you for making frequent cash and check deposits on unreported income, they will.

 

[mcmxi]

but expect folks to be leary of paying someone on the internet via cash or check.

That hasn't been my experience at all. I've sold thousands of dollars of firearms related items to members on forums. And I'm talking way in excess of $10k. All by check, money order, or cashier's check. I've had a presence on those forums for a long time and never had a problem with anyone sending me payment before I ship an item.

I despise PayPal and refuse to use it.

 

[radas]

That hasn't been my experience at all. I've sold thousands of dollars of firearms related items to members on forums. And I'm talking way in excess of $10k. All by check, money order, or cashier's check. I've had a presence on those forums for a long time and never had a problem with anyone sending me payment before I ship an item.

I despise PayPal and refuse to use it.

I'm sure there are people comfortable with that level of risk. Personally, I'm not sending anyone a cash or cashier's check unless I know them personally as there's no recourse for the buyer if they get burned besides small claims or civil court. I'm glad it has worked out for you and your buyers but not everyone that pays via cash or check online is so lucky.

 

[arml]

If someone reports back to you that they "know where to get something" your looking for and they give you a name and an email (normally a Gmail) DO NOT EMAIL THEM!
They will steal your email address and use it in future scams against others!
And if you are gullible / foolish / desperate enough to fork out money for anything, they will not have it!

I just received a message yesterday from a new that day member, who stated he has a friend that has a 54" deck I was looking for....told me to email his friend, new member that day it seemed. I just made a deal with Murph for a 60" deck. I replied thanks but I had a deal made already. Strange that came along, now you pointed it out, that I did not go for the bait. Good call Wolfman.

 

[D2Cat]

That's your business decision to avoid paying taxes on business income but expect folks to be leary of paying someone on the internet via cash or check. In-person is a whole 'nother story, but then again, if the IRS wants to audit you for making frequent cash and check deposits on unreported income, they will.

Last sentence needs modified, ... if the IRS wants to audit you, they will.

 

[radas]

Last sentence needs modified, ... if the IRS wants to audit you, they will.

Agreed - and with no statute of limitations. The bastards also expect their money on time but will hold off on processing your 2019 amended return that you filed in April of 2021 for over a year... (Personal experience).

 

[Daren Todd]

Agreed - and with no statute of limitations. The bastards also expect their money on time but will hold off on processing your 2019 amended return that you filed in April of 2021 for over a year... (Personal experience).

They were taking 6 months to give you your money on a standard return. Giving you $0.50 in interest. Then sending out a 1099 a few months later.

We were shocked to get our federal refund in 6 weeks this year

I've had to do an amended return before. They sent me a check for $400 more then what they actually owed me.

I had to send them copies of my amended return, plus the check they sent me. And a letter explaining where they screwed up. Took about 9 month to get a check back with the correct amount owed.

 

[radas]

They were taking 6 months to give you your money on a standard return. Giving you $0.50 in interest. Then sending out a 1099 a few months later.

We were shocked to get our federal refund in 6 weeks this year

I've had to do an amended return before. They sent me a check for $400 more then what they actually owed me.

I had to send them copies of my amended return, plus the check they sent me. And a letter explaining where they screwed up. Took about 9 month to get a check back with the correct amount owed.

Ridiculous! I'm also shocked we got our fed/state refund this year. I set it up now to reduce withholding and owe at the end of the year. Giving those incompetent buffoons an interest free loan that they pay back whenever they feel like is something I never want to do again.

 

[arml]

Amazing, we went from scams to taxes in the same thread. Oh, wait, it's one and, the same. LOL

 

[mcmxi]

I'm sure there are people comfortable with that level of risk. Personally, I'm not sending anyone a cash or cashier's check unless I know them personally as there's no recourse for the buyer if they get burned besides small claims or civil court. I'm glad it has worked out for you and your buyers but not everyone that pays via cash or check online is so lucky.

I bought a trailer tongue scale from a member on this forum without knowing anything about them. Admittedly it was only $75 or so, but it's not rocket science figuring out who's who.

 

[D2Cat]

They were taking 6 months to give you your money on a standard return. Giving you $0.50 in interest. Then sending out a 1099 a few months later.

We were shocked to get our federal refund in 6 weeks this year

I've had to do an amended return before. They sent me a check for $400 more then what they actually owed me.

I had to send them copies of my amended return, plus the check they sent me. And a letter explaining where they screwed up. Took about 9 month to get a check back with the correct amount owed.

Daren, that happened to us once. They overpaid us a bit over $700, if I remember. Asked our accountant what to do. He said just make sure you have funds to pay them if they notify you, and leave it alone. Too much trouble to educate them! Nothing ever happened and that was a LONG time ago !!!!

 

[D2Cat]

Oh, I loaned a Gill subsoiler to a member here who I had only met on this forum. He picked up the implement, hauled it about 300 miles to his house, used it for a couple of months, installed new carrier bearings on the double rollers and returned.

Often however a persons responds in his written expression reflects on his personality. Not too difficult to determine how lunch might go with individuals, or even if that meeting would be wanted!

 

[TheOldHokie]

That's your business decision to avoid paying taxes on business income but expect folks to be leary of paying someone on the internet via cash or check. In-person is a whole 'nother story, but then again, if the IRS wants to audit you for making frequent cash and check deposits on unreported income, they will.

I too sell tractor related manufactured items and have a Paypal business account for processing credit card sales. It is way more convenient for both buyer and seller than cash transactions.

I have no problem paying taxes on the income but I am comfortably retired and operate more as a break even hobby than an actual for profit business. Last year I unexpecyedly received a Paypal 1099 for $20,000 in sales revenue. After going through the addeded IRS paperwork hassle of reporting business income and expenses I paid tax on just over $1000 in profit. Had I bothered with the additional hassle of claiming expenses related to the use of my residence and vehicles I expect I could have shown a loss. I am sure I am not unique and this new reporting requirement is simply added aggravation for hobbyists like myself who really do not profit from their sales.

I now know the paperwork required and decided to continue to use Paypal for credit card sales because it makes my life so much simpler. I will continue to pay a few pennies in added income tax a CPA would tell me I dont really owe just to keep the paperwork burden down. But if the IRS decided to audit my return for anything related to this revenue stream it would be a bridge too far and I would close up shop entirely. I don't need that kind of silly bureaucratic hassle.

BTW - my email address is public knowledge so you can't steal it. If someone spoofs it in a phishing scam blame the internet providers who fail to do due diligence on their mail relays.

Dan

 

[lynnmor]

I too sell tractor related manufactured items and have a Paypal business account for processing credit card sales. It is way more convenient for both buyer and seller than cash transactions.

I have no problem paying taxes on the income but I am comfortably retired and operate more as a break even hobby than an actual for profit business. Last year I unexpecyedly received a Paypal 1099 for $20,000 in sales revenue. After going through the addeded IRS paperwork hassle of reporting business income and expenses I paid tax on just over $1000 in profit. Had I bothered with the additional hassle of claiming expenses related to the use of my residence and vehicles I expect I could have shown a loss. I am sure I am not unique and this new reporting requirement is simply added aggravation for hobbyists like myself who really do not profit from their sales.

I now know the paperwork required and decided to continue to use Paypal for credit card sales because it makes my life so much simpler. I will continue to pay a few pennies in added income tax a CPA would tell me I dont really owe just to keep the paperwork burden down. But if the IRS decided to audit my return for anything related to this revenue stream it would be a bridge too far and I would close up shop entirely. I don't need that kind of silly bureaucratic hassle.

That is exactly where I am, the paperwork that is necessary to entertain the IRS just ain't worth the hassles. The only difference between you and me is that I will not pay taxes on those sales that can be shown as a loss. If people want the parts, then they pay cash or find someone else to manufacture them. I had a fair size business, but now I reduced it to a hobby shop, so I do know the ropes.

 

[Dieseldonato]

It's beyond even a business level. I sell a few things on ebay ever now and then. Recently I put 2 saws up on auction. Ebay said one sold for just over $300.00 till shipping and their fees came out of it I was left with abrky $250.00 the second saw was a runner and sold for $425.00 ebay got that down to $360.00 fees and shipping. But I still got a message that I sold over $600.00 on products so I would be getting a 1099 as well. I don't run a business, I just sell off stuff from time to time, since when was private sales that your actually taking a loss on worthy of reporting on your taxes? Just seems like uncle Sam wants to track all your money.

 

[TheOldHokie]

It's beyond even a business level. I sell a few things on ebay ever now and then. Recently I put 2 saws up on auction. Ebay said one sold for just over $300.00 till shipping and their fees came out of it I was left with abrky $250.00 the second saw was a runner and sold for $425.00 ebay got that down to $360.00 fees and shipping. But I still got a message that I sold over $600.00 on products so I would be getting a 1099 as well. I don't run a business, I just sell off stuff from time to time, since when was private sales that your actually taking a loss on worthy of reporting on your taxes? Just seems like uncle Sam wants to track all your money.

I understand the motivation fir the changes but the new reporting threshold has been set way too low. Perhaps Congress will come to their senses once the IRS gets beseiged with processing the extra paperwork.

Dan