The IRS has revised its fact sheet on Form 1099-K, Payment Card and Third-Party Network Transactions, to address confusion surrounding the filing season.
The revised FAQ webpage provides more general information for taxpayers, including common situations, along with more clarity for industry and what organizations should send the forms.
The agency lowered the Form 1099-K reporting threshold to $600 in late 2023, resulting in the IRS sending more forms to taxpayers.
As the IRS continues to work to implement the new law, the agency is treating 2023 as an additional transition year, which applies to taxes filed this year.
The agency will not require taxpayers to report payments on Form 1099-K unless they received more than $20,000 and have more than 200 transactions in 2023. Learn more.