Does anyone have experience using the 2023 Pub 560 worksheet but with 2024 numbers? Did the IRS give you any trouble if you got audited? I'm worried about using outdated forms even with updated numbers.

I ran into this exact same issue last month! What helped me was checking the IRS's "What's New" section on their website - they sometimes post interim guidance or notices with updated figures before the full publication is released. Also, if you're working with a tax professional or have access to professional tax software, they often have the updated worksheets available earlier than the general public since they get advance copies. In the meantime, the 2023 version with updated 2024 limits (as others mentioned) should definitely work fine - the calculation methodology rarely changes, just the dollar amounts.

One important thing to consider is organizing your records NOW before tax season gets busy. Since you mentioned shutting down the business a few months ago, this is actually perfect timing to get everything sorted while it's still fresh in your memory. Create a simple spreadsheet with columns for: Date, Item Description, Purchase Cost, Sale Price, Platform Fees, Shipping Costs, and Net Profit/Loss per transaction. Even if you don't have perfect records, try to reconstruct what you can from your bank statements, PayPal records, and any Whatnot transaction history you can download. Also consider whether you want to treat this as a sole proprietorship (Schedule C) or if there are any advantages to filing as a partnership since you mentioned this was run with your partner. The tax implications can be different, and you might want to consult a tax professional for that specific question since it involves two people and substantial income. The key thing is that high gross sales with low/no profit is actually pretty common in reselling, especially when markets get saturated like you described with Lego. The IRS understands this, but you need solid documentation to support your expense claims.

Something to keep in mind - since you mentioned your partner ran the business but you're both concerned about taxes, make sure you're clear on whose SSN/EIN the Whatnot account was registered under. Whoever's tax ID is associated with the account will receive the 1099-K and be responsible for reporting all the income, even if you both contributed to the business. If the account was under your partner's SSN but you both invested money and time, you'll need to figure out how to handle the income split. The person who gets the 1099-K will need to report the full gross income on their Schedule C, but they can potentially "expense out" payments made to you as a business partner - though this gets complicated without formal partnership agreements. Also, don't stress too much about the high gross sales number. The IRS sees this all the time with resellers, especially on platforms like Whatnot, eBay, etc. What matters is your net profit after legitimate business expenses. Just make sure you have documentation for your major expense categories: inventory costs, shipping supplies, platform fees, storage costs if you rented space, mileage for sourcing inventory, and even a portion of utilities if you used part of your home for the business. The key is being organized and honest about your record-keeping. If you lost money or barely broke even, that's a legitimate business outcome that the IRS recognizes, especially in competitive reselling markets.

I'm actually dealing with a similar situation right now with vintage sports cards! One thing I learned the hard way is that documentation is absolutely critical regardless of whether you classify your activity as business or investment. Keep detailed records of every purchase - date, price, condition, where you bought it from. For sales, track the same info plus your selling expenses (eBay fees, shipping, etc.). If you're holding items as investments, document your research showing why you believed they would appreciate (print outs of price trends, market analysis, etc.). Also consider opening a separate bank account for this activity even if you decide it's investment income. It makes everything cleaner for tax purposes and shows you're treating it seriously. The IRS loves good record keeping, and it can really help your case if there's ever any question about your classification. One more tip - consider consulting with a tax professional who has experience with collectibles before you get too deep into this. The rules can be tricky and the stakes get higher as your income grows. Better to get it right from the start than have to fix problems later!

Great question about documentation! For trading cards, I've found that a combination of sources works best. eBay sold listings are definitely valuable - I take screenshots of recent sales for comparable items, making sure to note the condition and date. TCGPlayer is excellent for current market prices, especially for Magic and Pokemon. I also use PSA's auction prices database for graded cards, and COMC (Check Out My Cards) has good historical data. For sealed product, I track distributor pricing from places like DA Card World or local game stores to establish my cost basis. The key is showing a pattern of research over time. I keep a simple spreadsheet with the item, date purchased, cost, and then periodic price checks with screenshots. This shows I'm genuinely analyzing these as investments rather than just flipping whatever I can find. One thing I learned - if you're buying modern sealed product as "investments," make sure you can document why you believe it will appreciate. Things like print run size, competitive play impact, or historical performance of similar sets. The IRS wants to see that you're making informed investment decisions, not just gambling on cardboard!

Just got my MI refund today after 6 weeks of waiting! E-filed on Jan 15th and it hit my account this morning. For those still waiting - I noticed the status changed from "received" to "approved" about 3 days before the deposit came through. Keep checking that MI Treasury site, the status updates are actually pretty accurate once things start moving. Hang in there everyone! 💪

Filed mine on Jan 22nd and still showing "received" status. Really hoping it moves to "approved" soon! The 4-6 week timeline from @Zoe Christodoulou matches what I'm seeing - we're right in that window now. Thanks @Finnegan Gunn for sharing your timeline, that's encouraging to know the status actually updates before the deposit hits. Going to keep checking daily 🤞

Quick tip that helped me understand my W-2: Your December paystub from the end of the year should have year-to-date totals that roughly match your W-2, but they won't be exactly the same if you have taxable benefits like group term life insurance over $50k or if your employer provides other taxable benefits. I was driving myself crazy trying to reconcile the numbers until my HR explained this!

Just to add another perspective on this - I work in payroll and see this confusion ALL the time! One thing that trips people up is that your W-2 Box 1 (taxable wages) can actually be LOWER than what you think you earned if you have a lot of pre-tax deductions. For example, if your salary is $60,000 but you contribute $6,000 to your 401k, have $3,000 in health insurance premiums, and $1,500 in other pre-tax benefits, your Box 1 will show $49,500. That's a $10,500 difference! This is why it's so important to understand that the IRS taxes you on your "taxable income" (Box 1), not your gross salary. The withholding calculations throughout the year are based on this lower Box 1 amount, which is why increasing your 401k contributions can actually reduce your tax burden both by lowering your taxable income AND potentially dropping you into a lower tax bracket. Pro tip: If you want to estimate your taxes mid-year, use your current Box 1 equivalent (gross minus pre-tax deductions) rather than your actual gross income!