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Public Notices and Press Releases
Krystal Marshall
Neighbor
Monday December 2 2024 2:38pm
Expecting a Form 1099-K? IRS Updates, Transition Relief, and Guidance
This post expresses the views and opinions of the author(s) and not necessarily that of Ypsilanti Press management or staff.
On November 26, 2024, IR-2024-299 was issued by IRS – this notice provides guidance on transition relief for third-party settlement organization (TPSO also known as payment apps and online marketplaces) regarding transactions during calendar years 2024 and 2025. Notice 2024-85 can be found within IR above.
2024 reporting: transactions more than $5,000
2025 reporting: transactions more than $2,500
2026 reporting: transactions more than $600
Additionally, the announcement provided that for calendar year 2024, the IRS will not assert penalties under section 6651 or 6656 for a TPSO’s failure to withhold and pay backup withholding tax during the calendar year.
