Image Source: Google
By:Savardekar
Image Source: Google
The Internal Revenue Service (IRS) has reminded taxpayers who accept payment by credit card.
Image Source: Google
In early 2023, third-party network transactions may receive 1099-K forms for sales exceeding $600.
Image Source: Google
New 1099-K Reporting Rule. The IRS stated that no changes have been made to the taxability of income, only to the reporting rules for Form 1099-K.
Image Source: Google
Taxpayers must still report all income on their tax returns unless it is specifically exempted by law.
Image Source: Google
This is true regardless of whether they receive a Form 1099-NEC, Nonemployee Compensation; Form 1099-K, or any other information return.
Image Source: Google
Personal Gifts, Personal Reimbursements Are Excluded. Taxpayers should also avoid mixing personal and business-related transactions in the same third-party payment service account.
Image Source: Google
Money received as personal gifts or reimbursements for personal expenses from friends and relatives via third-party payment or application such as PayPal or Venmo is not taxable.
Image Source: Google
Deadlines for 1099-k fillings in 2023. 1) Recipient copy deadline, January 31, 2023, 2) E-filing deadline, March 31, 2023, 3) Paper filing deadline, February 28, 2023
Image Source: Google
Where Can I Get Tax Help? If you are overwhelmed by the prospect of filing your own tax returns, you can hire an accountant, bookkeeper, or tax preparation service to assist you.