Showing posts from December, 2017

Form 1099: Potential Threshold Adjustments

As the gig and sharing economies develop, filing requirements do, too. In the coming years, we expect to see threshold changes for 1099 reporting. In fact, there are a couple threshold adjustment proposals in the mix right now. The proposed changes will not take affect this tax season, but are items that we're keeping an eye on.

1099-MISC and 1099-K: What are the differences?
Form 1099-MISC reports miscellaneous income. This income could be anything from services performed, to rents, to payments to an attorney. See the full list of eligible income items here.
Form 1099-K reports payment card and third party network transactions. Form 1099-K is for payments made with a credit card or through a third party sharing economy app, such as Uber.

1099-MISC and 1099-K: What are the current thresholds? 
Form 1099-MISC: The current threshold for Box 7 amounts is $600. The form should also be filed if at least $10 in royalties or broker payments were issued instead of dividends or tax-exempt i…