I did some checking around and found out it is $20,000.00 and/or 200 transactions that must occur before a form 1099 is generated.
>>Details and Caveats
As a practical matter, if you're an eBay seller, this will effect you unless your gross sales are under $20,000 for the year or you receive fewer than 200 transactions. Reporting for small sellers at this level is not required.
Otherwise, if you exceed this volume, you'll be required to provide tax identification information (SSN or EIN number, for example) to payment processors like PayPal and will be expected by the IRS to account in your return for the amounts reported on your 1099-K form(s).
more re: this here: http://ebay.about.com/od/sellingeffectivel1/a/_sbe_tax1099k.htm
It seems that this new rule/law took effect in 2011 and it would have no effect on most people that sell things on eBay. However, if you are a "POWER SELLER" I'm thinking they gotcha!
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