A new tax reporting rule requires third-party payment platforms to issue you and the IRS a 1099-K for business transaction payments if they add up to more than $600 over the course of the year. A business transaction that is taxable is defined as a payment for a good or service, including tips. It used to be those platforms only had to issue you a 1099-K if you engaged in more than 200 business transactions for which you received total payments of more than $20,000.
“People are just not going to understand how to take that gross amount and then work off the deductions to get to their taxable amount.” What the new rule doesn’t do The new rule doesn’t impose any additional taxes on anyone. Nor does it change your obligation as a taxpayer to always report to the IRS all of your taxable income from your business activities. But the 1099-K reporting will make it harder for someone to evade the taxes they owe by underreporting their business income.
What I don't understand is that as an author I get certain 1099s that are also paid via PayPal. I've always reported the 1099s. But now it looks like they will be reported twice
So. They expect us to pay taxes on what we earn? Since when?!?
Should not be as long as you pay your taxes.
If you don’t report correctly will you go to jail?
Terrible interview, did not learn anything new.
God forbid you make an extra $600 here or there while inflation rages on ..
the extra IRS agents were never about going after the extreme rich (they have high price tax accountants and lawyers to take care of it) it about going after YOU and ME the middle and lower class taxpayers that's how the democrats work they lie about what something is for.
I use TurboTax. I was audited and I found I owed the State another 276 dollars. I’m going to pay it. I don’t take my income offshore to avoid taxes so people are starved of services. Of course we want capital inflow and outflow. But what some get away with is ridiculous.
😤🤦And why? Makes absolutely NO sense!
Is the owner of CNN Amroman or Amroscandinavian?
Or you can KYC verified under an anonymous person and avoid paying tax. Ultimately the IRS and federal government over-taxes American citizens at every single corner it's too much. I advocate for greater privacy and smaller government.
Why so quiet about this:
Only thanks to the DNC and the Biden Admin. Good job at screwing over the little guys while preaching that you're going after the big ones. More DNC lies.
OK, I am up for this, and retroactive auditing, because otherwise I'd feel like sucker not knowing $20K/200 transactions, and I paid taxes for every small transaction anyway. But they'd collect more by getting people who took unemployment $ during COVID while not being eligible
Another Biden blunder f*cking American people
Will you be reporting income to the IRS from PayPal, Venmo, or apps like those?