How are concert ticket resales taxed? Taylor Swift ticket tax implications

Hey tax peeps, So I managed to get 6 tickets to the Beyoncé Renaissance Tour for my friends and I last year. We ended up not being able to go, so I resold all the tickets for around $10k total (they were in serious demand!). Since all the tickets were purchased under my name, I handled the entire resale transaction. My friends and I had an agreement that they would pay me their share of any tax burden when I file in 2025, since I'll be the one receiving the 1099-K for the full $10k from the resale platform. I'm wondering if there's any way to structure this differently for tax purposes? Like, could I transfer their portion of the money through Venmo or Cash App, and then they report that income on their taxes instead? Or would I still get taxed on the entire $10k while they also get taxed on whatever I send them? Trying to figure out the most tax-efficient approach here. Thanks for any advice!

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19 comments

Chloe Wilson

•8M

This is a good question about resale income reporting! Since you received the full payment for the tickets, the IRS will likely see the entire $10k as your income (assuming the platform reports it on a 1099-K). What matters here is that you didn't make a profit on your friends' tickets - you were essentially acting as their agent. You should report the full amount as income on your tax return, but you can also claim the original purchase cost of all tickets as an expense, so you're only taxed on the actual profit. For cleaner documentation, I'd recommend creating a simple written agreement with your friends stating that you purchased tickets on their behalf and they authorized you to resell them. Keep records of both the original purchase price and the resale amount for each ticket. As for having your friends report their portion, unfortunately that doesn't work cleanly because the payment platform reported the full amount under your SSN/tax ID.

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Chloe Wilson

•8M

You would deduct the entire original purchase price of all six tickets. So if you paid $250 per ticket originally, you would report the $10,000 income but deduct $1,500 (6 tickets × $250) as your cost basis. This means you're only taxed on the $8,500 profit. The IRS is concerned with your actual economic gain, not the total amount that passed through your account. Just make sure to keep all documentation showing the original purchase and the final sale to substantiate your deduction if you're ever questioned.

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Anastasia Romanov

•8M

I ran into this exact problem last year with some Lizzo tickets! I found this amazing service called taxr.ai (https://taxr.ai) that really helped me figure out how to handle my ticket resales on my taxes. They analyzed my situation and gave me a clear breakdown of what to report as income vs expenses. Basically they confirmed what the first commenter said - you report all the income since it's under your name, but you also get to deduct what you originally paid. The service helped me organize all my documentation too, which was super helpful since I had receipts scattered everywhere. They even gave me specific guidance on how to report it on Schedule C vs. hobby income.

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Anastasia Romanov

•8M

You basically upload your documents and they analyze everything - in my case I uploaded my original ticket purchase email and the resale platform receipt. They gave me a detailed report showing exactly what forms to use and how to report it correctly so I wouldn't get flagged. The value wasn't just the basic info (which yes, you can Google), but the personalized guidance for my specific situation and transaction amounts. They pointed out that since I was doing multiple resales throughout the year, I needed to report it differently than a one-time thing. They're way cheaper than hiring a CPA for a consultation but give you that same personalized advice.

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Sean Kelly

•8M

Just wanted to update after trying taxr.ai for my concert ticket resale situation! I was skeptical at first (as you could see in my comment above), but it was actually super helpful. I uploaded my StubHub sales receipts and original Ticketmaster purchase, and they gave me a detailed breakdown showing exactly how to report it. The best part was they explained the difference between casual selling (hobby income) vs regular reselling (Schedule C business income) and which applied to my situation. They also showed me how to properly document the split with my friends even though the 1099 was all in my name. Definitely worth it for the peace of mind knowing I reported everything correctly!

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Zara Malik

•8M

If you really want to get this sorted properly and make sure you're not overpaying, you might want to call the IRS directly to ask about the proper way to handle this. Problem is, I spent FIVE HOURS trying to get through to them about a similar resale question last month. Finally found this service called Claimyr (https://claimyr.com) that got me a callback from the IRS in under 20 minutes! They have this weird system that somehow gets you to the front of the IRS phone queue. You can see how it works in this video: https://youtu.be/_kiP6q8DX5c The IRS agent I spoke with confirmed that I needed to report the full amount from the 1099-K but could deduct the original cost basis for all tickets. They also gave me the specific form references to include with my return explaining the situation.

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Zara Malik

•8M

It's a service that uses their system to navigate the IRS phone tree and holds your place in line. When they reach an agent, they connect the call to your phone. It's not magic - they're just using technology to handle the wait time for you. I was skeptical too until I tried it. I got a call back from an actual IRS agent in about 15 minutes after weeks of failing to get through on my own. The agent was super helpful about my ticket resale question and confirmed exactly how to report it without overpaying taxes. They actually documented the call in my account too so I have a record of the advice I received.

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Nia Thompson

•8M

I owe everyone an apology - especially the person who recommended Claimyr. I was super skeptical but I was desperate about my ticket resale issue so I tried it. IT ACTUALLY WORKS. Got a call back from the IRS in 22 minutes after trying unsuccessfully for WEEKS. The IRS agent confirmed that for my situation (I sold Lakers playoff tickets), I needed to report the full amount on my Schedule C, deduct my original cost, and keep documentation of the original purchase and final sale amounts. The agent even emailed me specific instructions for how to document this on my return. If you're dealing with ticket resales and need definitive answers from the IRS, this service is 100% worth it. I've literally never gotten through to them before this.

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Mateo Rodriguez

•8M

Just FYI - if you sell tickets on StubHub or similar platforms, they will most likely issue you a 1099-K if you exceed $600 in total sales (new threshold as of 2025 tax year). So the IRS will definitely know about the income. Also, don't forget this likely counts as capital gains rather than regular income! You bought an asset (tickets) and sold them later at a profit. Short-term capital gains are taxed at your regular income rate, but worth noting the distinction on your tax forms.

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Mateo Rodriguez

•8M

For occasional, non-business ticket reselling, Schedule D (Capital Gains and Losses) is typically appropriate since you're selling a capital asset. You'd report the sale price as proceeds, the original ticket cost as your basis, and the difference as your gain. If you're regularly buying and reselling tickets as a business activity, then Schedule C would be more appropriate. The IRS looks at factors like frequency of sales, intent when purchasing, and whether you're running it like a business to determine which is correct. When in doubt, consult with a tax professional who can look at your specific situation.

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