Taylor Swift Scalpers Will Have To Pay Taxes On Their Earnings

Thanks to a new provision in the American Rescue Plan Act of 2021, those who purchased Taylor Swift tickets and resold them are subject to being taxed on the resale earnings. The new provision lowered the threshold for reporting transactions done by third-party sites, such as Venmo, PayPal, and Cash App.

If you resold a ticket for more than $600, you would receive a 1099-K form to report the earnings. Ticketmaster’s business page, for example, reads:

The IRS and some U.S. state tax authorities may require Ticketmaster to report the amounts your fans earn from selling or reselling tickets on any of our U.S. marketplaces. Ticketmaster is required to file a Form 1099-K report with the IRS when the gross revenue received from transactions on our U.S. marketplaces meets or exceeds $600 in a calendar year per seller.

Most of Taylor’s tickets for the Eras Tour resold between $500 – $9,000 for seats close to the stage, according to StubHub.