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Video instructions and help with filling out and completing IRS 1099-MISC 2024 vs. Form 1099-k

Instructions and Help about IRS 1099-MISC 2024 vs. Form 1099-k

Hi, I'm Mark Reeth, an ex-con. Income earned from self-employment, such as gigs or freelance work, is taxable. However, the 1099 miscellaneous and 1099 K forms don't always show up. Most businesses are required to send form 1099 miscellaneous to both the taxpayer and the IRS if the payment totals $600 or more a year. Unfortunately, some businesses don't comply with this law. Other businesses, including mini sharing economy platforms like eBay and Uber, often use form 1099 K to report payments to taxpayers and the IRS. However, they are not required to send 1099 Ks until total payments exceed $20,000 and there are more than 200 transactions per year. As a result, some businesses send 1099 miscellaneous forms, while others send 1099 K forms. This can lead to confusion for the taxpayer. For example, a taxpayer may receive a 1099 miscellaneous form for $800 from one gig company, but not receive a 1099 K for the $19,000 earnings from another gig company. This is because the $800 income was above the reporting threshold of $600, while the $19,000 income was below the threshold of $20,000. In such cases, the taxpayer is supposed to report the entire $19,800 as income on Schedule C of form 1040. For more information, visit attacks.com.