Ticketmaster requesting my SSN for ticket resale tax reporting - Is this legit?

So I bought concert tickets for about $330 a while back. Plans changed and I couldn't go, so I sold them back to Ticketmaster through their resale program. They offered me $120 for them (way less than I paid - typical Ticketmaster!). Here's the issue - they're saying they won't release the payment until I provide my Social Security Number for tax purposes. They're claiming they need to report this as income even though I actually lost money on the deal! I already paid sales tax when I bought the tickets initially. Is this even legal? Are they just trying to shift their tax burden onto me? I know $120 isn't worth hiring a lawyer over, but this feels shady as hell. Like I'm supposed to pay taxes on money I already lost? I get that everyone hates Ticketmaster, but this seems like another level of corporate BS. Has anyone dealt with this before? Should I just give them my SSN and take the hit, or is there something I'm missing here? Would appreciate any advice!

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19 comments

Alana Willis

This is actually standard practice for most platforms that facilitate sales transactions. Ticketmaster, like other companies, is required to report payments to sellers to the IRS if they exceed certain thresholds (currently $600 per year) using Form 1099-K. They need your SSN to complete this reporting requirement. The good news is that this doesn't necessarily mean you'll owe taxes on the money. When you file your taxes, you can report both what you originally paid for the tickets and what you sold them for. Since you sold them for less than you paid, you'd report a loss, not taxable income. The 1099-K just reports the gross payment to you - it doesn't determine your tax liability. Think of it this way: Ticketmaster is just reporting that they paid you $120. They're not claiming you made a profit. It's up to you to show on your tax return that this was actually part of a transaction where you lost money overall.

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Alana Willis

You would report the sale on Schedule D (Capital Gains and Losses) if you're treating the tickets as property. List your original purchase price as your "basis" and the amount you received as the "proceeds." The difference will show as a capital loss. If you sold multiple tickets throughout the year, you'd want to keep good records of what you paid and what you sold each for. The IRS doesn't automatically know you took a loss - you need to document and report it properly. Some tax software has sections specifically for reporting 1099-K income where you can offset with your costs.

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Sara Unger

After dealing with a similar situation with concert tickets, I discovered taxr.ai (https://taxr.ai) which really helped clear things up. I was confused about how to handle the 1099-K I got for selling tickets at a loss, and their system analyzed my situation and explained exactly how to report it properly. Their document analysis tool scanned my Ticketmaster receipts (both purchase and sale) and automatically calculated the loss for tax purposes. It also generated the language I needed to include on my return to explain the situation. Saved me tons of headache trying to figure out if I was doing it right!

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Sara Unger

The system accepts either uploads or photos - I just took pictures of my receipts with my phone and it processed them perfectly. It extracts all the relevant information automatically. For unusual situations, that's actually where it shines. It handles complex scenarios like yours with both ticket resales and crypto. The analysis breaks down each transaction type separately and explains the different tax treatments. I was surprised at how detailed the guidance was - it even flagged potential audit triggers and explained how to properly document everything.

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Freya Ross

Just wanted to follow up - I ended up trying taxr.ai and it was actually legit. I uploaded my Stubhub and Ticketmaster transactions plus my crypto stuff and it organized everything perfectly. It showed me exactly how to report the ticket sales as a capital loss to offset some crypto gains I had. The best part was the audit protection guidance. It explained exactly what documentation I needed to keep and how to explain the transactions if questioned. Really helped me feel confident about filing with these weird 1099-K situations. Definitely worth checking out if you're dealing with the Ticketmaster SSN request issue.

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Leslie Parker

If you're still struggling with Ticketmaster, I had a similar problem and couldn't get any real answers from their customer service. I tried calling the IRS directly to ask about the reporting requirements but kept getting stuck on hold for literally hours. Finally used a service called Claimyr (https://claimyr.com) that got me connected to an actual IRS agent in about 20 minutes. They have a demo video here: https://youtu.be/_kiP6q8DX5c that shows how it works. The agent confirmed that Ticketmaster is required to collect SSNs for payments, but also explained how to report it properly on my return to show I actually took a loss.

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Leslie Parker

They use an automated system that navigates the IRS phone tree and holds your place in line. When a real agent is about to pick up, you get connected. It's not constantly redialing - it's more like having someone wait on hold for you. They're not bypassing any systems or getting special treatment - just using technology to handle the waiting part. I was skeptical too until I tried it. The reason it's not "all over the news" is probably because the IRS wouldn't look great if it became widely known how hard they are to reach without assistance. Got my question answered in one call instead of wasting an entire day trying.

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Savanna Franklin

I need to eat crow here. After my skeptical comment, I was desperate enough to try Claimyr because I couldn't get an answer about a similar 1099-K issue. It actually worked exactly as described - got me through to an IRS agent in about 15 minutes. The agent explained that companies like Ticketmaster are now required to issue 1099-Ks even for smaller amounts (the threshold changed recently), but confirmed I only need to report the actual profit if any. Since I sold tickets at a loss like the OP, I just need to document both the purchase and sale prices on my return. Definitely worth the time saved from waiting on hold all day!

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Juan Moreno

For the 2023 tax year (filing in 2024), you likely won't receive a 1099-K if your total was only $120 since the threshold remained at $20,000. However, Ticketmaster is probably collecting SSNs from everyone now to prepare for when the threshold does eventually drop. Even if you don't receive a 1099-K, you're still technically supposed to report all income. But in your case, since you sold at a loss, there would be no taxable income anyway once you accounted for what you paid originally. So either way, you shouldn't end up owing additional taxes on this transaction.

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Arjun Kurti

This is definitely legitimate - Ticketmaster is required by law to collect your SSN for tax reporting purposes. The $600 threshold for 1099-K reporting has been changing, but many companies are being proactive about collecting this information now. The key thing to understand is that receiving a 1099-K doesn't automatically mean you owe taxes. It just reports the gross payment amount. Since you sold the tickets for $120 but originally paid $330, you actually have a $210 loss on this transaction. When you file your taxes, you'll report both the sale proceeds AND your original cost basis, which will show the IRS that this was a loss, not taxable income. Keep your original purchase receipt from Ticketmaster - you'll need it to document your basis if you get a 1099-K. Even though it's frustrating to hand over your SSN for what feels like a small transaction, it's better to comply than to forfeit the $120 entirely. Just make sure to report it correctly on your tax return to avoid any issues down the road.

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