Signing Up For ThredUP You just never know if theres a rogue employee or two cherry-picking for themselves or what not, if you get my drift? Individuals. I personally think it's not the best business decision, since I think it makes most people less likely to pull the trigger on making a purchase at . For small businesses, the maximum fine is $556,500 per year. I was issued a store credit, not a refund. Check your email for promo codes and sale announcements. 2.) We highlight products and services you might find interesting. S-corporations and C-corporations do not need 1099s. Not even $10 worth. Your return is complete and your refund of $67.53 has been processed. The IRS has a variety of 1099 forms to cover all of these and other scenarios. Obviously the reasonit took so long for me to publish this post is because of the ridiculous amount of time it took ThredUp to do their thing. Despite having a type-A personality, I wouldn't call my closet particularly well-organized. Then they answered the first. They were worn twice so replacement value would be exactly what I paid for them. Seeing as that's not what they do, never shopping with them again hurts them more than me. They probably will tell you they don't accept them and you won't get anything or if they do accept them you will get a few dollars. This has been over a week ago so I went through the process of contacting them again and was told that I had to keep waiting to hear from them. The. I would love my refund but more I would like to see this company shut down for fraud. My order was delivered, but on the threadup site it still shows as 'in transit'. Form W-9 has been described as the employers best friend because it calls for the vendor to supply the information the employer needs. Oh well lesson learned I guess? I have had success selling tops and dresses for about $20 each (sometimes more, sometimes less) and have loved how easy Poshmark makes it to ship any items I have sold. First they gave me money they owed me, $10, by a code, accepted the two orders using that code, then promptly cancelled both orders within seconds. In any case, whether you're pursuing the . But it's easier to remember what it's for if you use the other name it's often known by"non-employee compensation.". Every year, we send a 1099-G to . You won't need to find a bag or box, and aside from the actual act of going through your closet, all the work is done by a couple of clicks online. Return authorization #5043206 May 30, 2022. (see attached photo) Original order # XHP741U515K9 purchase delivered May 2022 (see attached photo). thredUPencourages everyone with a Clean Out Kit to send timely and seasonal clothes their way. If you decide that an item that isn't the right fit for you, we invite you to visit your returns page to process a return request. Consumers satisfied with thredUP most frequently mention great condition, good quality and polka dot.thredUP ranks 3rd among Used Clothing sites. Desired outcome: Chanel Silva One month later, on September 12, the bag still wasnt processed and I was made awarethat it could take an additional 3-4 weeks for my bag to be processed because they were backlogged at the time. I will never send in another kit and have alerted friends and family to do the same. Plus they handle postage and packaging to the buyer including any returns that may happen. Often they must spend their money on your behalf while doing work for you. Value 630. Yes, I did have my bank investigate and was informed that Thred Up denied any of this happening. What does thredUP do with unaccepted clothes? -Packages may be delivered by USPS. All items are subject to a $1.99 restocking fee determining whether someone is an employee or an independent contractor. Desired outcome: Payments of less than $600 I ordered a pair shoes ASOS: SHOES which were listen as a Size 5. As I mentioned earlier, I emailed them questions. In this video, I share with you what brands I'm sending in to ThredUP, my expected payout. Please note that we are unable to create prepaid labels for Alaska, Hawaii, Puerto Rico. However if you take the credit option its actually not bad at all because its a higher payment and the shopping is rather cheap. I'd say it's more of a charity than it claims. Send us your stuff Place the shipping label on the box or bag and drop it off with FedEx or USPS. In that case, the penalty is a minimum of $550 per form or 10% of the reported income, with no maximum. Reimbursement to contractors is very common. Unfortunately, I give a big thumbs down to thredUP online consignment site. My fabulous Antik Batik boho maxi dress is bang on trend with not a single sequins missing! No materials from this website may be copied, reproduced, republished, uploaded, posted, transmitted, or distributed in any way. Or perhaps the seller altered the price in a cheeky attempt to make the necklacecovetable? until it's delivered, i cannot generate a return request. The IRS penalty for failing to issue a 1099 is now $250 per form. Thanks for that love xx. Your return has been processed. For items priced at $20.00-$49.99, Thredup takes 70-85%. If you've ordered a bag from thredUP.com, it's already "activated" and associated with your account. I wont bore you with every single one. Mara Leighton is a senior digital culture reporter. Here's the cost breakdown: Price: $50. Desired outcome: It was never delivered nor did a FedEx truck come to the house.. We have cameras. You did work for your neighbor and made repairs of $1,000. Credit card companies, online platforms, and third-party payment processors must send 1099-K forms to report payments they process during the year for merchants. Conscious shopping & collecting quality pieces over quantity is the most sustainable path to timeless outfits & a healthy planet. Non-US customers will not receive any forms from Coinbase and must utilize their transaction history to fulfil their local tax obligations. I have contacted them via email 4 times and tried to rectify through my credit card company with no response. Your email address will not be published. And one pair of pants had a cut at the bottom of the leg. Once I was looking for a statement brooch and noticed a plastic necklace from Marks and Spencer priced at a whopping $199! DON'T SELL ON THREDUP IF YOU WANT TO MAKE MONEY The clue is in the title. High value items this includes new and like-new items from a known (and higher priced) brand or designer. Boxes aren't needed. Even though lenders are only ever required to send 1099-Cs if a canceled debt is worth $600 or more, it is still your responsibility to report smaller canceled debt amounts as gross income on your federal income tax returns. Its a pittance to be precise. Honestly though, if you just plan to donate your clothes, isnt it simpler to drop them off at your nearest Salvation Army, Goodwill, or other thrift store and collect the tax credit? 1. Employers can be subject to an IRS fine of $50 or higher for failure to give you a 1099. Yes. Crypto.com may be required to issue to you a Form 1099-MISC, Miscellaneous Income, if you are a U.S. person who has earned USD $600 or more in rewards from Crypto.com during the previous calendar year from Staking, Earn, Referrals, or certain other activities. Perhaps Im overly suspicious it simply does not up add up that so many of my garments werent accepted. SHOP SELL FAVES I really just want to know out of curiosity and for this post but I never received a reply. ThredUP currently ships to the United States and Canada, with no current plans to expand to additional countries at this time. i am trying to contact somebody to correct that, but there is not a single phone number on the website for the customer service and the 'chat' function does not work. Claim it and get a lot of features. An SSA-1099 is a tax form we mail each year in January to people who receive Social Security benefits. Complete. The commission scale the company currently uses is as follows: For items priced at $5.00-$19.99, Thredup takes a commission of 85-95%. We are so glad you stopped by. For example, imagine you are a business that hires others to help provide your services. I need to up date my email @phone number I have been lock out, I want the remainder of my items back that they have- they even charged me 9.95 to send stuff back but will not answer emails or return items - no disclosures no phone number. Items were unclean or stained My Hunter boots were not even listed, they were stolen the minute they arrived. If you're trying to browse thredUP from another country, you unfortunately won't be able to access our site and will have restricted website access. Promotions and discounts will not be reimbursed I just hope a charity does get your clothes because its awfully fishy business. Now Sept. 21, 2022 I am attempting to use the store credit and says my account has been banned. Somehow, my bag slipped through the cracks even though thredUP had a record of it arriving August 12. Since I opted to forwardthe rejected items to charity, that is where this dress and many others, ended up. I would like my money sent via the paypal I have set up through their website. In April 2022 I made two orders with ThredUP using my new debit card number. I returned merchandise, it was in bad shape, thredup is stealing clothing & money from consumers, My bag of clothes, purses and shoes Bag#: B2BAC-KG637, 16 years' experience in successful complaint resolution, Each complaint is handled individually by highly qualified experts, Last but not least, all our services are absolutely free. I checked the address and even walked to several neighbors homes. Suppose a business intentionally disregards the requirement of providing a correct payee statement. The most popular ones sell out quickly. This site states numerous clean out bags that I've sent using their prepaid labels has never been received, and when I follow up with them, they state I should insure them, but the postal clerks tell me that that shouldn't be necessary for these type of prepaid shipping labels. Uber files the necessary information returns to the IRS. Separate Shipping. Payors of 1099s need to know when they are required to file a 1099 and when they are not. Fill up your kit Free up space in your closet by filling any box or bag with gently used items you no longer wear, need, or love. Which means that they have to make a profit from the $50 blouse you send their way and the only way to do that is by offering you less money for your blouse than its actually worth so that they can resell it at a higher price, pay their bills, and earna few bucks for themselves. If youre aware that thredUP wont generate enough cash to pay for your mortagage (or possibly not even cover dinner for two at decentrestaurant), but you want to sell your clothes and give it a try, I have a few tips to help you get the most bang for your $10 Clean Out Kit. Sometimes business owners can be frustrated because they do not have enough information to issue a 1099. When you buy through our links, Insider may earn an affiliate commission. Id say its more of a charity than it claims. I added up the value of the five garments that had sold and thredUP earned $99.95 for those items (with one dress yet to sell). reports the distribution of $10 or more of retirement benefits from pensions, annuities, or other retirement plans. Mail your kit Once you have filled up your kit, just place it in the mail using the prepaid shipping label. They were accepted and then instantly cancelled. And its funny they don't accept some items that are new while they send me stuff that has been torn or cut with sizors. If you want to get in touch, please send an email to mleighton@insider.com, or send a DM on twitter to @maraleighton. That's the name of the actual box on the 1099 form where you will officially fill in the amount you are claiming. You must select this option before you send in your bag. A 1099-Bit is not required to enter the stock sale and associated capital gains. Emailed them a second one because they hadn't answered the first. They should be investigated for cheating so many people out of their money. I would love my refund but more I would like to see this company shut down for fraud. And LLC earnings will be subject to self-employment tax. Unemployment compensation is taxable income and must be reported each year even if you have repaid some or all of the benefits received. Founded in Cambridge, Massachusetts in 2009 by James Reinhart, Oliver Lubin and Chris Homer, this ground-breaking, privately-owned, start-up's headquarters are located in downtown San Francisco with distribution centers all over the United States. So angry that I am being treated this way, after being a long-time seller and shopper with thredup. freelancer or independent contractor less than a total of $600 for the year, you are not required to send them a 1099. Yes. When you pay a corporation, you are not required to send it a 1099. [protected]@yandex.com. I contacted customer support so they could look into it. Thank you for reaching out! To be required to issue a 1099, the purpose of the payment must be for business or trade. Building https//www.the-sloth.com. At the end of the day, filing for an LLC solely for tax reasons may not make sense for you the key benefit is on the legal liability front. x, Julie | thismainlinelife.com, Yep Ebay is better for making money theres no doubt about it , Dang! This does not drive our decision as to whether or not a product is featured or recommended. So at the end of the year, you'll send them a 1099-NEC tax form. Saw your post on #iwillwearwhatilike to report gains or losses from your transactions in the preceding year. This review was chosen algorithmically as the most valued customer feedback. There is no phone number anywhere for Thred up. If you make payments personally and not for your business, you are not required to send a Form 1099-MISC. The remaining 60% is dealt with in . You do not need to issue a 1099-NEC or 1099-MISC for credit card payments as listed below. I want the remainder of my items back that they have- they even charged me 9.95 to send stuff back but will not answer emails or return items - no disclosures no phone number, ThredUp terminated my account out of the blue for an order that I disputed in a prior bank account. You can log into your account to see them and even adjust the price although only up to the estimated retail price ThredUp has set. In general, you do not issue a 1099 to a builder. When eligible items sell, cash out or get shopping credit. thredUP decided to keep 6 of the 9 items I shipped in my Clean Out Kit and list them online. It was a lot.). It's the contractor's responsibility to report their income and pay their taxes. When you pay a corporation, you are not required to send it a 1099. These boots were worn only twice and were in pristine condition. xxx, I am with you Lisa. Relax! Kind regards, I sent a large box inside the bag of jewelry from my store inventory, ladies long cream white wool coat, granddaughter's two prom dresses; all in mint condition and yet they never arrived? I wouldnt recommend it Anne. In my experience, it can sometimes take even longer. To learn more about our refund options please check out this FAQ. information about the income paid to the employee, the amount of taxes withheld, and the benefits provided. To be accepted, they have to show no signs of wear (pilling, fading, shrinkage), damage, or alterations. Im also going to address the elephant in the room and point out that I am most definitely not pregnant in these photos. This experience makes me distrust Thred up with what they do with your clothes. I will say that thredUP is pretty transparent about the status of the clothes they keep and list online. Theres only one way that the company can legitimately afford to knock 40% off their listed prices on a regular basis: bypurchasing their merchandise at a very low rate. Dont worry, a detailed list of requirements comes with the bag. Required fields are marked *. Desired outcome: If you use a barter network, you should receive one from them, also. I returned them the next day and was charged $2 each as a "restocking fee". If you use a broker to sell stocks, bonds, or other securities, they will send you Form. CAN FASHION DO MORE THAN JUST BE SUSTAINABLE? This also includes items that are slightly faded, stretched, or show other signs of wear. I reckon they could be reselling elsewhere and I cannot believe that your AB dress was rejected????? 3.8 670 Reviews. I never received any emails from them as they stated they sent emails letting me know my money was being converted. Coinbase began submitting 1099 forms to the IRS and to individuals users in 2017. Especially for those looking to recycle clothing en masse in an urban area (particularly if you do so regularly or without access to a car), it's a great option. Desired outcome: Every time I visit the thredUP website, I see discount codes that invite me to save 40%. ..wait for itlets have a drum roll please.. To clarify Everything I included in my bag was either a popular brand, high-end high street like Whistles or low-end designer like Antik Batik. I wrote this CS rep back explaining the problem was with the first Chase acct, that I disputed only part of the order and asked her what now - NO REPLY! Click to share on Facebook (Opens in new window), Click to share on Twitter (Opens in new window), Click to share on Pinterest (Opens in new window), Click to share on Tumblr (Opens in new window), see photos of what we donated in this blog post, How We Screamed Our Way through the Dave Ramsey Show, I Was Broke, Too A Look at my Early Finances, Sinking Funds Why You Need Them & Why We Love Them. A complete refund and no more run around! Email us at reviews@businessinsider.com. Desired outcome: I smell a giant rat. document.getElementById( "ak_js_1" ).setAttribute( "value", ( new Date() ).getTime() ); This site uses Akismet to reduce spam. I have no gift card and cannot get them to answer where that gift card is. I sent a $125 emails blouse and got $4 and Lululemon leggings I paid $128 plus tax for I got $6 - Ive entailed 2x there is no phone number - this company is a fraud - I need to get my designer items back ASAP There is no disclosure no follow up and I havent even gotten the $12 mailed to me for the two items sold so far- I need file a claim w BBB, Desired outcome: Ive tried every way to reach them but there is NO customer service number or email address to contact them. Get free shipping on orders $79+ using the promo code on our. If you choose partner credit as your payout option, you could earn an extra bonus for a limited time like a 20% bonus to Amour Vertor a 15% bonus to Reformation. Compare. What you can do if your thredUP coupon code does not work. View Transaction History For example I had a suede dress listed that wasnt described as suede or even leather. You make a little and they take their cut for their hard work. Service 589. Desired outcome: 1. According to the thredUP website, it takes 1-3 weeks for your Clean Out bag to be processed and have your items listed online. Best Overall: ThredUP. thredUP keeps track of all incoming clothing to sell through their $10Clean Out Kits. Final sale items are not returnabl Disclosure: This post is brought to you by the Insider Reviews team. Desired outcome: These updated FAQs were released to the public in Fact Sheet 2022-41 PDF, December 28, 2022. So after all of that information, the question remains whether or not thredUPis the best way to get the most value out of your old clothes, shoes and accessories. Whenever you have an issue with your order, we recommend reaching out to us directly and we will be happy to make it right for you and refund it if necessary. I second your complaint, I would like to talk with a customer service person. Hi Indulekha The Sloth. I actually had these photos taken last July while we were still living in the condo because I wanted to feature thredUPas a unique website that helps you earn a little unexpected cash (the thought of which greatly appealed to my personal finances). I really dont want to believe anything underhand is going on but its seriously odd how they determine whats worth selling. Theres one more thing you need to be aware of before you attempt to sell your clothes on thredUP. I'm sorry if I wasn't clear in my last email. She would have bought these from me, but she already has them. This complaint was posted by a verified customer. Desired outcome: Returns 427. Source: thredUp. So if you are paying your babysitter, gardener, or painter, you do not have to file a 1099. To qualify for a refund, all items must be in the same condition in which you received them -$14.99 flat rate. As with the expedited processing fee, however, you may not make this money back. You might sell stocks at a profit, earn interest from an account, get dividends from a company, receive distributions from a retirement account, and more. If it looks like you have to pay for a label, just search "Give Back Box print free shipping label" on Google or simply click here. thredUP store credits will be refunded back to your account 5-7 days after thredUP has received your return order, while credit card refunds can take an additional 3-5 business days to be refunded. 16 Followers. Form 1099-MISC and Form 1099-NEC are similar but have one main difference. The grand total I made off ThredUp was $35.46. If you wish do donate your clothes without a payout, the kit is free (but FYI, you dont get a receipt for tax purposes). Then again, thredUP might not be the gold mine that it sounds like. Using their clean-out service means that you will be given a kit by ThredUp where you can fill it with gently used items that you do not need or use. Ive tried to contact ThreadUp several times and have received no answer. The best thing about selling on ThredUp is also the worst thing about ThredUp. Did you rake in the cash or walk away from the experience feeling completely deflated? Michelle Tyler blog uses its own and third party cookies. If you paid a freelancer or independent contractor less than a total of $600 for the year, you are not required to send them a 1099. I want a a refund or my shoes! And no you cant add your own description like Ebay or Vestiaire Collective. on 9/26/15. thredUP has a consumer rating of 3.17 stars from 5,867 reviews indicating that most customers are generally satisfied with their purchases. It may be something silly like the clothing is too old. Payment of $600 or more in rent for office space, machines, equipment or. Which means that they take unused clothes, and sell them for a profit. Who knows? "Hi Chanel, This will ensure that you have the vendors mailing information, Tax ID number and also require them to indicate their corporate status. It seems INSANE that that much clothing got you so little money. Greetje, Oh I agree with you Greetje and I also give away to people I know. Glassdoor is your resource for information about thredUP benefits and perks. In general, ThredUp collects a higher commission on lower-priced items than it does on more premium items. I saw 2 items posted. I feel they grew too large to handle the amount of clothes coming in and their customer service definitely got worse. This is what they sent; Youll get no argument from me about the virtues of shopping on ThredUp. If you're going to receive a 1099 form from Robinhood, these will be issued in mid-February for the preceding tax year. However, you must issue a 1099-NEC or 1099-MISC if you pay your contractor or freelancer with cash or by check. So, if you're a Target shopper, ThredUp won't necessarily save you money, but it could get you better brands, and the satisfaction of buying used vs. new. Your return is complete and your credit of $144.21 has been processed. When it's famed polkadot bag arrives on your doorstep, you simply have to fill it with your unused clothes and send it back to thredUP for free. Access your favorite topics in a personalized feed while you're on the go. ORDER #XHP741U5I5K9 You Have to Pay thredUP to Process Your Clothes There's one more thing you need to be aware of before you attempt to sell your clothes on thredUP. Then, as of August 28, 2018, the thredUP restocking fee was made permanent, so now for any item under $50 you return, you'll receive the full amount back in cash or credit, minus $1.99 per item. Have you tried to sell clothes onThredUP? I want my items returned or paid the equivalent of what I lost because of their inability to handle incoming merchandise. I have contacted customer service and no one has been able to help me, or locate the bag, and my request for the issue to be escalated to a supervisor hasn't received a response. Out of about 40 pieces only fifteen were chosen to list, the rest went to charity. Which I received, however, although they are stamped on the bottom of the shoe as a Size 5 and it was listed as 5 in your on-line and on the bottom of the shoe. A 1099 employee doesn't receive benefits or have taxes deducted from their paycheck. Back in August 2022 someone hacked my THRED UP account and made purchases in the amount of $1,185.00. Crazy Together is a participant in the Amazon Services LLC Associates Program, an affiliate advertising program designed to provide a means for sites to earn advertising fees by advertising and linking to amazon.com. Good luck! If you are self-employed and provide services of at least $600 to a business during the year, you should receive Form 1099-NEC. When I reached out to them via email they said they have a policy that after one year any money is converted to a gift card. I returned some items and Thred up processed the return, minus restocking fees and contacted me via email of the return amount and successful receipt. If your total payments are less than $600 for the year, no 1099 is required. It also reports your employer contributions to things like the Social Security tax. Despite these occasional fuck ups on pricing, overall ThredUp is a bargain hunters dream. It was only 30 days past the year so I asked them to convert back and they said it's not possible. Return Completed - Status Bar It was just a dress! It also wouldnt hurt for you to consider listing your gently used clothing on Poshmark or Ebay. You must issue a 1099 when you pay a vendor more than $600 for the year. As a Coinbase.com customer, you'll receive a 1099 form if you pay US taxes and earn crypto income over $600. Their follow-up on clean out bags is terrible. The 1099 form is officially known as a 1099-MISC form, with "misc" standing for miscellaneous. There are different types of 1099s, and they do not all have the same filing date. Out of everything sent, they took 5 items, and they were all shoes. When you reimburse them for those expenses, it is not income, and you are not required to file a 1099. It is important to know that Canada is limited to purchases from . The 1099-G form is used to report taxable benefits when filing with the IRS for anyone who was paid unemployment benefits or Alternative Trade Adjustment Assistance payments during the calendar year, January 1 to December 31. You can order a clean-out kit online to be delivered to your home, fill it up with goods you want to recycle(or sell), and leave your bag for your mail carrier, schedule a USPS pickup, or drop it off at any FedEx Office or USPS location. Items purchased with thredUP store credits will always be refunded back as store credits They paid pennies for them, did not return some of my items when I paid $10.99 to have them returned and now I find out that they gave away my Hunter rain boots when I specified I wanted them back. The clue is in the title. A handful of companies will actually reward you for getting rid of stuff you no longer use. DO NOT SELL TO THREDUP. Order a Clean Out Kit or FREE shipping label on thredUP's selling app. Their TDUP share price forecasts range from $2.00 to $13.00. Awful experience! However, you can choose to pay $10.99 for a return if you want the unsold items back. Quality 575. We aredefinitely in tidying mode at the Gavin household especially when it comes to closets and storage space. My acct was w/CHASE bank, I disputed one item but the bank returned all of the money for that order to my acct. YES cut as in by a person. Learn about thredUP , including insurance benefits, retirement benefits, and vacation policy. No, not unless you pay for the option, which is $10.99 (April 2020 pricing). If, like me you tend to give away most of your unwanted clothes then this is a nice little gift for doing so. Read all about my experience with this secondhand fashion website here. Desired outcome: They have overhead costs like warehouses, employees, shipping supplies, and maintaining an extensive website. There are businesses that don't require a 1099. I usually get about $40 a box and I then treat myself to something special like a nbtand name jacket or dress. The only option for the men's clothing box was 10 lb at $50. 2. Shipping 610. While I was able to work with the Thred Up customer service to stop the sale and shipment of goods, I was NEVER refunded the money. Expensive ones. Well, I assume. this is very frustrating. Definitions. Now can't get a response at all. . Im going to report them to BBB. Those platforms supply the required information to the IRS. #B2Q4W-GGE79 could not be accepted by our processors. Reporting. You issue 1099s to vendors who do work for your business during the tax year. I have tried messenger, chat, emails, nothing. They make it sound so easy and rewarding on their website. And if every bag is a $5 donation rather than by pound, you could theoretically send in a few bags if your items could fit in two as easily as in one.