Tax Information

The IRS has rolled back the 1099-K reporting thresholds for third-party marketplaces like Gear Exchange.

For tax year 2025, the IRS will only require Form 1099-K to be issued if both of the following are true:

You have more than $20,000 in sales and you have more than 200 transactions.

This change reverses the lower thresholds previously introduced under the American Rescue Plan Act of 2021, which would have required reporting for sellers with more than $600 in sales.

If you do not meet both the $20,000 sales and 200 transaction thresholds in 2025, Gear Exchange will not be required to issue you a 1099-K form for that tax year. However, all sellers may still responsible for reporting any income earned through the platform on their tax returns, even if they don’t receive a 1099-K.

Note: Tax laws change often, and we are not giving legal or tax advice. Please consult a tax professional for advice. We are not responsible for how users perceive or use the information on this site.