I'm sure A LOT of people will have this issue this year with a 1099K from PayPal due to prize pick earnings. My question is how can we go about doing this?
Here's my situation:
My 1099K from PayPal is $12,000. I did not receive a 1099 misc from prize picks there for proving my loses outweighed my wins and EVERY "income" transaction on my PayPal account is strictly from prize picks.
Is my best option here to audit this 1099K and wait to show proof to the IRS and risk fees and interest if I don't win my claim? I will most likely have to send them every transaction on my prize pick account for 2024 but it just doesn't make sense because my proof is literally that I did not receive a 1099 from prize picks which is 100% proof that I did not make any income from sports gambling. And everything related to my PayPal is from them.
