>> Getting a 1099 form at the end of the tax year does not complicate your tax situation is any way. If your tax situation is otherwise pretty simple, just ignore that 1099, it's NOT income. <<
Over many years, I've always had the very highest regard for your advice regarding Apple products.
From my understanding, eBay will send a 1099 to me as well as the IRS if I sell more than $600. I agree with you COMPLETELY that this is NOT a taxable event. (On a couple of occasions, in years past, I sold something at a small profit on eBay. I accurately reported that as miscellaneous income on my tax return.)
From my reading, along with my tax return (that is done by a CPA firm) I would need to attach any 1099s I receive along with documentation on what I originally paid for the item in order to PROVE that I sold it at a loss. I have further read if you cannot produce documentation of your original cost (let's say you're cleaning out your attic or your garage) then you must pay income tax on the full sales amount.
An Internet search, or reading comments from other eBay sellers you will see MANY casual sellers (that was me) that have simply stopped selling on eBay because they don't want to get a 1099.
It's not just the money, but people are throwing perfectly good items in a landfill because they're afraid of the IRS. This is new, so there is confusion. Also, if there's a change in Washington, it is likely these rules will go back to the old $20,000 threshold.