As a payment processing entity (PSE), YapStone is required by the IRS to report gross sales volume for any merchant processing more than 200 transactions AND $20,000 in volume per year (Please note lower threshold for the States of Vermont and Massachusetts). You can think of the 1099-K like the W-2 that your employer issues to you and reports to the IRS every year. Informational reporting is the IRS’s method of encouraging increased voluntary tax compliance.
Articles in this section
- Form 1099-K: An overview
- What is a Form 1099-K?
- What is the purpose 1099-K reporting?
- When will I receive my Form 1099-K?
- Why have I not received my Form 1099-K?
- How is the “gross amount” defined on the 1099-K?
- What are the Form 1099-K thresholds?
- What is a Federal “TIN” or Tax Identification Number?
- I don’t want a 1099-K, I already report my income to the IRS – why do you need to report as well?
- You’ve issued my 1099-K to my LLC, but my LLC was not set up until June 30 of last year. I need the volume split between my SSN and my LLC’s EIN