Author Topic: Prosper 1099 - "Collectibles"  (Read 2258 times)

neals384

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Prosper 1099 - "Collectibles"
« on: March 06, 2020, 10:57:38 AM »
Reviewed my 1099 from Prosper and was curious to see recovery and debt sale transactions listed as "Collectibles", box 3.  The amounts are small, but categorizing them as box 3 makes them subject to ordinary income tax.  Anyone else have the same issue?


mrwhizzard

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Re: Prosper 1099 - "Collectibles"
« Reply #1 on: March 09, 2020, 11:07:59 AM »
Reviewed my 1099 from Prosper and was curious to see recovery and debt sale transactions listed as "Collectibles", box 3.  The amounts are small, but categorizing them as box 3 makes them subject to ordinary income tax.  Anyone else have the same issue?
I don't see this issue on mine:
« Last Edit: March 09, 2020, 11:11:10 AM by mrwhizzard »

neals384

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Re: Prosper 1099 - "Collectibles"
« Reply #2 on: March 10, 2020, 12:41:51 PM »
I received this "helpful" email from Prosper:

Thank you very much for reaching out, we appreciate you and your time.
We use Sovos a 3rd party tax vendor.  I just wanted to provide a little information on box 3 of your 1099 B.
"Collectibles" are considered alternative investments by the IRS and include things like art, stamps & coins, cards & comics, rare items, antiques, and so on. I hope this helps out!
Please feel free to ask any more questions if you have any.

neals384

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Re: Prosper 1099 - "Collectibles"
« Reply #3 on: March 10, 2020, 12:51:31 PM »
Here's a piece of my 1099 showing "Collectibles".  My best guess is there is a newby in the Tax service who thinks "Collections" = "Collectibles" LOL.


mrwhizzard

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Re: Prosper 1099 - "Collectibles"
« Reply #4 on: March 10, 2020, 11:50:58 PM »
Here's a piece of my 1099 showing "Collectibles".  My best guess is there is a newby in the Tax service who thinks "Collections" = "Collectibles" LOL.
Ahh, I was looking in the wrong place. I see it on mine too. Well, some people collect stamps; I guess I collect Prosper Notes.

I checked 2018, and it looks like this is a new issue for 2019.