IRS Delays Tax Rules for Online Seller – Again

For the second straight year, the IRS postponed enforcement of a law that requires e-commerce and payment platforms to send the IRS information about many users who receive more than $600 in revenue a year.

For 2023, the IRS required selling platforms to report on those individuals that earn $600.  The old threshold for 2023 will remain in effect — $20,000 in revenue and 200 transactions.  Transitioning for 2024, the threshold will be $5,000.

The change doesn’t affect what people with owe, just what selling platforms must report to the IRS.  Not getting an 1099 doesn’t mean you don’t need to report your income.

In the announcement, the IRS also mentioned they plan to spend 2024 considering changes to related forms and reporting that could make implementation smoother.

The full IRS news release can be found here

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