Tax Talk: Unexpected Changes Hitting Online Resellers

December 11, 2025 · 21 min · Season 2 · Episode 28

About this episode

Leah and Kayla discuss significant tax changes affecting online resellers, including new sales tax laws and IRS reporting thresholds.

In this episode of Ready to Resell, Leah and Kayla tackle the "unsexy" but essential topic of taxes for online resellers. They break down two major tax changes that could significantly impact your reselling business: Part 1: The new Texas law (effective October 1, 2025) that charges sales tax on marketplace commissions. Learn how this affects sellers on platforms like Poshmark, eBay, Etsy, and Amazon—and why other states may soon follow. Part 2: The IRS is dropping the 1099-K reporting threshold to just $600 in gross payments for 2026 (down from $20,000 in previous years). Discover what this means for side hustlers, hobby sellers, and full-time resellers alike. Leah and Kayla explain real-world examples, discuss how to track expenses, and offer practical advice on preparing for these changes. Whether you're selling luxury items or clearing out your kids' closets, this episode helps you understand what forms you'll receive and how to protect yourself. Important: Leah and Kayla are not tax professionals—they're small business owners sharing what's affecting them. Always consult a qualified tax advisor for specific guidance. Perfect for resellers at any level who want to stay…

People in this episode

Host: Leah Hess

Guest: Kayla

Topics covered

tax changes
online reselling
sales tax
IRS reporting
small business advice
reseller tips

Keywords

taxes
reselling business
sales tax
1099-K
marketplace commissions
expense tracking
small business
side hustlers

Mentioned in this episode

Organizations: Poshmark, eBay, Etsy, Amazon, IRS

Places: Texas