Tax reporting from payment processors

Any payments made by credit card or third-party payment processor will be reported on 1099-K by the payment processor, not on 1099-MISC by the original payer. The processor is required to file a 1099-K for recipients who receive payments from multiple original payers that exceeds in aggregate $20,000 and more than 200 transactions in a calendar year.  See: Payment Processor Reporting

A tax payer is required to report their earnings regardless of whether or not they receive a 1099. A payee receiving a 1099-K should review it carefully against their own financial records to determine what amount is reportable to the IRS.  See: 1099-K Recipient Information


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