IRS Delays Tax Reporting Change for 1099-K on Venmo, Paypal Business Payments

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IRS Delays Tax Reporting Change for 1099-K on Venmo, Paypal Business Payments
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Tax professionals and consumers are likely to cheer the delay, which means the pre-2022 threshold of $20,000 for more than 200 transactions applies for now.

The agency said it will issue additional details on the delay, as well as guidance for taxpayers who may have already received a 1099-K as a result of the American Rescue Plan changes.

Tax pros had flagged the lower tax reporting threshold as a possible pain point for filers, with the risk of receivingon platforms such as Venmo and PayPal, such as gifts or reimbursements.

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