The IRS is already overwhelmed so next year when they start getting a bunch of low dollar transactions to track they'll too buried to see straight.

I don't know if it will impact me or not. I have a few customers who pay with PayPal but I track all of that in my own books so I don't think it will matter if PayPal sends me a 1099. It should just match what I already have on my books. I can see how this rule change would blow up a side gig that someone had going. The people who are going to be really annoyed are the ones who sell one high dollar item on PayPal but have no paperwork on what they paid for it. If it was me I'd probably ignore the 1099 unless it was for a bunch of money. Be interesting to see if the IRS actually dings anyone for selling a $600 used car part.