my dad got a 1099 from paypal last year. he tried to claim the stuff he bought as an offset. no go as he was not a registered tax business. as far as the 600 goes, back in the mid 80's, if you won anything at the dragstrip over 600.00, you got a 1099 at the end of the year. under 599.99, you did not have to claim it. now dragstrips make you fill out stuff when you win in case you win again.