Burdensome Collection Requirements
The American Rescue Plan Act of 2021 included a change in law to the threshold that many businesses, not just online marketplaces, use to collect information such as social security numbers and addresses for the individuals who earn income through their platforms. The provision reduced the threshold for collecting this information for any seller to a flat $600 from the previous $20,000 in annual sales or at least 200 transactions. This change in law will go into effect for any sale starting on January 1, 2022.
The PASS Coalition is actively working to educate members of Congress about the impact this change in law will have on casual sellers. As part of that process the Coalition considering a number of potential fixes and are hopeful that a solution can be obtained before the end of the calendar year.
The PASS Coalition is actively working to educate members of Congress about the impact this change in law will have on casual sellers. As part of that process the Coalition considering a number of potential fixes and are hopeful that a solution can be obtained before the end of the calendar year.