0324 Publ 5951 (PDF)

Official source: IRS Forms, Instructions & Publications (https://www.irs.gov/pub/irs-pdf/p5951.pdf), retrieved 2026-10-03. U.S. Government work (17 U.S.C. § 105).

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People will get a Form 1099-K from Payments from friends and family should generally not be reported on a Form 1099-K. The friends and family sending them form reports payments for goods or services and should not report personal payments like personal payments. rent, dinner, travel and other gifts or reimbursements, no matter the amount. Generally, in payment apps, the default is personal payments unless the sender designates that they’re purchasing goods or services, or it’s a designated business account.

If taxpayers didn’t receive a Form 1099-K, they don’t have to report income.

According to federal law, all income is taxable unless it is specifically excluded by tax law. Taxpayers should report any profits from selling goods or services, regardless if they receive a Form 1099-K.

Individuals won’t get a Form Companies may still send a Form 1099-K for goods or services payments that are less 1099-K if they sold goods or than the reporting threshold. This could be due to multiple factors. For example, the services under the current account owner is subject to backup withholding, or their state may have a lower reporting reporting threshold. threshold.

Taxpayers owe taxes on the amount reported on the Form 1099-K.

Taxpayers can only get a 1099-K if they’re running a business.

Taxpayers don’t need to do anything with their Form 1099-K.

The form provides the gross, or total amount of payments individuals got per app or marketplace. Just because a payment is reported on a Form 1099-K does not mean it is taxable. Taxpayers will need to use the Form 1099-K information and other records to determine their actual tax liability when they file their tax return. See IRS.gov/1099khelp .

Taxpayers may get a Form 1099-K from payment apps or online marketplaces they used to sell goods or services, or accepted payments from a bank card. See Form 1099-K frequently asked questions for more information at IRS.gov/1099kfaq .

Taxpayers should use the information on the Form 1099-K with their other tax records to determine their correct tax owed when they file their taxes..

Someone who receives a Form 1099-K when they shouldn’t have should take the steps outlined at IRS.gov/1099khelp .

Publication 5951 (Rev. 3-2024) Catalog Number 94757Q Department of the Treasury Internal Revenue Service www.irs.gov