The IRS has issued Notice 2023-10 announcing the 2022 tax year as a transition period for reporting requirements for third party settlement organizations and payment platforms such as Venmo, PayPal, Amazon, eBay, Square, Zelle, Etsy and CashApp for reporting proceeds or income to an individual that exceeds $600.
Before the new $600 threshold, an individual needed at least $20,000 in qualifying transactions before being issued a Form 1099-K from a third party payment network.
With Notice 2023-10 the IRS is delaying implementation of the $600 and the single-transaction 1099-K reporting thresholds until the 2023 tax year with those 1099-Ks to be filed in January 2024 by the third party payment network.
