A new $600 reporting threshold from the IRS means sellers on Venmo, Paypal, Amazon, Square, and other sites might receive tax form 1099-K. Previous reporting thresholds were set at $20,000 for seller activities, but the IRS is cracking down on small-time sellers. Form 1099-K is an IRS information reporting form that contains the gross amount of payment transactions that took place on third-party networks. This form is provided to you and the IRS and must be reported on your taxes. Personal transactions on Venmo, Paypal, and other sites are not considered payments for goods and services and would not generate 1099-Ks.
At Brandywine Oak, we educate our clients on the intricacies of tax law changes to help minimize and avoid tax surprises. To learn more about these reporting requirements, please read Kiplinger’s https://lnkd.in/eSPSvZCx.
#BOPW #Taxes #Learning
At Brandywine Oak, we educate our clients on the intricacies of tax law changes to help minimize and avoid tax surprises. To learn more about these reporting requirements, please read Kiplinger’s https://lnkd.in/eSPSvZCx.
#BOPW #Taxes #Learning