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After you file
No. The income she receives is not income to your family member. Money received through one of these third party financial apps is taxable only if it is received for sales, services, where there is a profit motive.
The law is not intended to track personal transactions such as sharing the cost of a car ride or meal, birthday or holiday gifts, or paying a family member or another for a household bill.
- Understanding third party payments from cash platforms (click the link and other links on the page for the most up to date information)
It will be very important to keep a list of payments received to document proof of non-income payments. The IRS requires reporting for anyone who receives payments that exceed $600 for 2023.
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‎January 27, 2023
12:14 PM