Reselling concert tickets is one of my favorite ways to meet spending requirements to earn credit card sign-up bonuses. Whether you make a profit or not, any income from reselling tickets should be reported come tax time. For taxes, StubHub isn’t required to send you a 1099-K unless you make you have more than 200 transactions or if gross payments from StubHub exceed $20,000, though laws may differ by state. As a note, StubHub does not deduct the fees paid to them when calculating gross payments so this figure will be higher than what is actually deposited into your bank account. Whether you receive a 1099 or not, income is income and you should be prepared when it’s time to do your taxes.
If you plan on getting into the ticket resale game, here’s the most valuable thing I’ve learned about managing my records. Ninety days after an event occurs, Ticketmaster will no longer display the event on your account, making it impossible to download a receipt. Do yourself a favor and stay organized by downloading receipts immediately after each purchase. You’ll thank yourself in the event of an IRS audit.
Make your life easier by saving receipts after each ticket purchase. Whether your receive a 1099-K or not, it’s in your best interest to report any income to avoid trouble down the road. The internet has some great information, but always consult a tax advisor when in doubt.