If I have a merchant account for credit card processing, they will report credit card transactions on a 1099-K.
If an authorized user on my own credit card makes a transaction with my credit card terminal, my credit card is charged and the money is deposited in my own bank account (after fees).
For example, the authorized user charges $100.00 using my credit card, and the credit card processor then deposits $99.00 to my bank account. Subsequently, I will have to pay back the $100.00 to my own credit card account.
This transaction will then be reported on my 1099-K by the credit card processor.
Am I liable for any taxes for this? It is just my own money that is taking a “round-trip”.
