Just an FYI for those needing to know......

iirc, this covers ALL methods of taking in payments/money.

Tax Year ----- Federal Reporting Threshold
2023-Filing in 2024
More than $20,000 USD in gross sales from goods or services AND more than 200 transactions in the calendar year.

2024-Filing in 2025
$600 USD or more in gross sales from goods or services in the calendar year.

Form 1099-K is an IRS informational tax form that is used to report goods and services payments received by a business or individual in the calendar year. While payment service providers, like PayPal and Venmo, are required by the IRS to send customers a Form-1099K if they meet the $600 threshold amount, there are certain amounts included on the form that may not be taxable. PayPal is required to report the total gross amount of payments received for goods and services which can include:

Amounts from selling personal items at a loss
Refunded amounts
Processing fees
However, certain amounts may not be considered taxable income to you. We encourage customers to speak with a tax professional when reviewing their 1099-Ks to determine whether specific amounts are classified as taxable income.

What is the 2023 Form 1099-K IRS tax reporting threshold on PayPal?.......

The IRS has recently announced an additional delay in implementing the new $600 USD reporting threshold for goods and services transactions, reverting the 2023 requirement for Form 1099-K reporting back to the 2022 figures (total payments exceed $20,000 USD and there are more than 200 transactions). This means that similar to prior years, PayPal and Venmo will continue to follow these IRS reporting thresholds. Additionally, PayPal and Venmo will file Form 1099-K for any customer who was subject to backup withholding during 2023, regardless of total payments for the year. In the case where an individual state has a lower threshold, PayPal and Venmo will report accordingly.

If you live in the following US states, you’re subject to a lower reporting threshold:

Vermont, Massachusetts, Virginia, Maryland: $600 USD in gross payment volume from sales of goods or services in a single calendar year, regardless of the number of transactions.
Illinois: over $1,000 USD in gross payment volume from sales of goods or services in a single calendar year and four or more separate transactions.

You won’t receive a Form 1099-K if you didn’t meet the reporting requirement for the tax year.

P.S. I am screwed! 🤬