Did they send you a 1099K specifically? Because the K form is from online commerce specifically. There is a way (see the video I posted above) that very clearly walks you through how to correctly file this form showing your personal property for a loss so that it zeroes out and does not accrue further taxes.
Also, the IRS phased back the threshold so 2023 is still $20,000 and 2024 might be $5000.
IR-2023-221, Nov. 21, 2023 — Following feedback from taxpayers, tax professionals and payment processors and to reduce taxpayer confusion, the Internal Revenue Service today released Notice 2023-74 announcing a delay of the new $600 Form 1099-K reporting threshold for third party settlement...
www.irs.gov