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Returning Member
posted Mar 8, 2024 10:22:46 AM

Do i need to report a 1099-k received of $1,000 from California and I live In Massachusetts if the threshold for California for issuing a 1099-k for that person is $20k?

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2 Replies
Expert Alumni
Mar 8, 2024 11:16:34 AM

Yes. You must report all income on your tax return.  The IRS compares the information from their 1099-K copy against what you enter from your 1099-K copy.  if yours is missing, they will send you a letter asking why.

 

The reporting threshold for third party settlement organizations, which include payment apps and online marketplaces, was changed to $600 by the American Rescue Plan Act of 2021. The IRS announced a delay in implementing this change for tax year 2023, which covers tax returns generally filed in early 2024.

 

Although the Form 1099-K reporting threshold for 2023 is $20,000, companies could still send the form for totals over $600.

 

No matter the amount, if you receive payments for selling goods or services or renting property you must report your income.


IRS - Understanding your Form 1099-K

Returning Member
Mar 9, 2024 8:32:20 AM

TomK2023,

 

Thank you very much for your response.

 

That is exactly what I had read but was a bit confused about the amount threshold.  I appreciate the clarification.

 

RobC2384