OMG. That must be so upsetting when they keep cancelling. I appreciate you letting me know that we get a 1099-K only if it's over 200 sales or over $20,000. My accountant says he will now have to file an amendment.
Does anyone use Poshmark?
- Thread starter kenzibray
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Thank you for the great advice. I did reach out to my accountant and he's going to file an amendment
He will most likely ask you for information on your cost of sales (your initial cost of items you sold) and make sure you keep your records in the event of the audit - receipts, credit card statements, anyhing to prove your cost deduction. Good luck.
I was planning on reporting it as a business if I reach the limit this year (2024). It isn't very hard to do a schedule C. What are the downsides of reporting it as a business? (Although for us, it would be beneficial having it as capital gains rather than ordinary income. My sales are small and numerous. I wonder if they could be reported as sales of personal property or if that would be more likely to get me audited.)
Yes, I'm in one of those anal states lol. I'm going to ask a tax professional what to do, I'm below 20K and 200 sales by federal threshold, but not by state's one. If I need to put total in gross and subtract all crazy cancellations so let be it. Poshmark is for my personal items, like downsizing, not business.
Generally, the biggest advantage of filing a business one is you can subtract expenses like square ft for storage from rent, gas mileage, internet/mobile payments, depreciation on devices. BUT it's only possible if you keep records of everything, like log in/log out on computer separately, use specific area allocated for storage only -- to separate it from personal use. For small casual sellers the headache of it all is usually not worth it. You have to do enormous work to subtract pennies.
Either way is acceptable; talk to your tax advisor which would work best for your situation.
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I just had my fourth return request on Posh. I'm convinced now that they are just like ebay, everything is always going to be approved in the buyer's favor. Only once was I allowed to get paid and in that case the item broke in the mail so I would have been fine with refunding the buyer. In this most recent case, the buyer claimed the color wasn't as vibrant as pictured, then posted a very faded out picture of the item. Posh approved the return. It depresses me and makes me want to stop selling.
I wonder if there is some point at which they would cancel my account. I'm confident that I'm describing and picturing things accurately. I've been a Posh ambassador for several years. If they read my love notes, they would see that I have had a lot of happy buyers. In every case, the buyers who opened these return requests didn't have much history with Posh.
I wonder if there is some point at which they would cancel my account. I'm confident that I'm describing and picturing things accurately. I've been a Posh ambassador for several years. If they read my love notes, they would see that I have had a lot of happy buyers. In every case, the buyers who opened these return requests didn't have much history with Posh.
Hang in there. It's not just Posh, such buyers are on many platforms and they are doing it at a pro level. Like half of my sales are by scammers and claimers now, with each order I wonder what's now? Not to mention, I list a detailed description with measurements, pics from every angle and inside, codes and video. Last 4 orders on Posh were like: case for non-existent odor in BNWT $2350 bag (returned worn, stole auth card), case for BNWT bag in box like "everything is flawed" with this bag (return denied), 2 buyers claimed the price they paid was not their offer/wrong charge on their cc (I had to explain that seller doesn't see their cc and doesn't have access to payment processing). Claimer/scammer on Etsy opened case and demanded refund before shipping the return claiming not as described, while I literally circled for her areas at the pics and part of description where it was described in details. It's just January-February sales so far.
On Posh bots seem to approve returns, so you need to respond literally within minutes with your photos and tell your side of the story. I keep uploading videos for them too -- packaging, unboxing returns - like it's my job. Gosh.
ETA: they won't cancel your account, cancellations are not counted against sellers.
Is it possible for you to post pictures of the bag Poshmark approved the seller's return? would like to see how you pictured, and did you sell it as in NWT New condition? Thanks!
Poshmark even approved return of BNWT bag? Was it go through Poshmark first before forwarded to the buyer? if so I would think Poshmark could tell if the bag had odor or not before forwarded to the buyer.Hang in there. It's not just Posh, such buyers are on many platforms and they are doing it at a pro level. Like half of my sales are by scammers and claimers now, with each order I wonder what's now? Not to mention, I list a detailed description with measurements, pics from every angle and inside, codes and video. Last 4 orders on Posh were like: case for non-existent odor in BNWT $2350 bag (returned worn, stole auth card), case for BNWT bag in box like "everything is flawed" with this bag (return denied), 2 buyers claimed the price they paid was not their offer/wrong charge on their cc (I had to explain that seller doesn't see their cc and doesn't have access to payment processing). Claimer/scammer on Etsy opened case and demanded refund before shipping the return claiming not as described, while I literally circled for her areas at the pics and part of description where it was described in details. It's just January-February sales so far.
On Posh bots seem to approve returns, so you need to respond literally within minutes with your photos and tell your side of the story. I keep uploading videos for them too -- packaging, unboxing returns - like it's my job. Gosh.
ETA: they won't cancel your account, cancellations are not counted against sellers.
But I know some sellers can skip Poshmark's forwarding, instead they ship to buyers directly even on over $500 items, in that case, I would think it is difficult to prove something such as "odor"? So maybe that's why the buyer could return the bag to you?
It wasn't a bag. It was a painting in a gold frame. In her photo on the claim, it was so faded out that the frame looked silver. In the approval, I was instructed to take photos in natural light to show the true color. In my response to the claim before they adjudicated it I had mentioned that the photos were taken in natural light and not enhanced or edited so obviously they ignored my response. I don't think it matters what a seller says.
I see, in your case, I’m surprised Poshmark would approve the return, sounds more like they made excuses to approve the return.
Yes, because she pulled out "smell". It always starts with this opening line "Hi, thank you for the fat shipping but there is an issue". So she can't stand the smell of natural leather, but she was just fine to wear it for 8 days while she had it? She initially asked for partial refund to keep this bag. I said absolutely not, it's expensive BNWT bag and I already gave her half of retail price. I said just send it back in unworn condition. Next time, I wouldn't agree to get it back, because these people will wear designer items and steal parts.