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If 20000 threshold for 1099K , if I made less,do I need to file Federal business taxes? I live in a state with no income taxes. what about carry overs from last year?

I am a sole proprietor. I have not received my 1099K. I estimate my total income to be about 17K for 2025.
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2 Replies
VictoriaD75
Employee Tax Expert

If 20000 threshold for 1099K , if I made less,do I need to file Federal business taxes? I live in a state with no income taxes. what about carry overs from last year?

Yes. The requirement to file for self-employed individuals is $400 in income. Even if you do not meet the income or transaction threshold to receive a 1099-K, the income must be reported on a tax return. 

 

You are required to report all business income  on your tax return, regardless of whether you receive a Form 1099-K, 1099-NEC, or any other tax form. The absence of a 1099-K does not exempt you from reporting income earned from goods sold or services provided. 

 

@providencegracelove 

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If 20000 threshold for 1099K , if I made less,do I need to file Federal business taxes? I live in a state with no income taxes. what about carry overs from last year?

Just because not every dollar is reported on a special form doesn't mean it's not taxable income.  You are required to report and pay taxes on all your income, even if you don't get forms, with substantial interest and penalties if they catch you.  

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