How do I correct a 1099K? I have received a 1099K from Square showing income of $8K. It actually was a personal loan repayment made by credit card with a 0% offer.

We used a credit card so that the repayment could be made with a 0% card offer.

2444

Level 15

Jun 4, 2019 7:15:14 PM

Only the issuer of the 1099K can issue you a corrected one, so contact them and start there.

Most are very reluctant to make changes, so then your next option is to document you tax records very well and show the 1099K on the return with a corresponding deduction for the same amount. Net tax impact is $0.

Reason for this is, IRS will match the 1099K documents, so now it is reported and due to it not being income an offsetting deduction is taken.

Best thing however is for the issuer to send you a corrected 1099K with the $8,000 removed.

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How do I correct a 1099K? I have received a 1099K from Square showing income of $8K. It actually was a personal loan repayment made by credit card with a 0% offer.