You know, for someone so smart, it's amazing you still don't get it.
I sell stuff at a loss for no profit, so I never had to report ANYTHING on my taxes related to that, WITHOUT being a tax cheat. I did not even take the hobby deduction, which I could have, and yes, I know about that too, thank you very much.
Now, I have to keep records and prove that the 1099'd amount was not profit. Since they report gross sales, I have to now BECOME A BUSINESS by keeping records, receipts, etc. or just get screwed and pay taxes on the entire amount, and some of the test equipment I deal with can still cost thousands of dollars even though it's 20-30 years obsolete, so that's not a good option. Some of the items I own were bought many years ago, long before I ever thought I would be reselling them, so getting receipts or even recording the amounts spent on them was not a priority.
I HAD no liability, but now I have to PROVE IT.
Understand now?
Before - nothing, no action required related to my taxes.
Now - I have to keep records and go through most of the hassle of becoming essentially a small business if I don't want to get screwed on the reported "income", which actually isn't.
Sigh. I am done with this.