Credit Cards and 1099

Just a heads up on the law concerning credit cards and 1099 filing.

According to the IRS if you have $20,000 or more in transactions AND process more than 200 transactions, your merchant provider (Square, etc) will send a 1099 to the IRS and you should get a copy.

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  • There is more and more tracking of our online transactions. So yes, be on the alert. In 2013 I was surprised to get a tax notice from PayPal listing my sales there to add to my tax reporting. Be on the lookout for that also. The majority of my income is from PayPal.

  • Good to know.  Not that I have anywhere close to $20K in transactions!  LOL  Now the 200 transactions is more likely, especially with craft shows.

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