There are a few notable changes for 2023 tax reporting:

Updates to Form 1099-K:

No updates currently for 2023. We will continue to monitor for any updates from the IRS and will update this section if there are any changes before the end of the year.

Filing Thresholds:

Beginning January 1, 2023, platforms are required to send 1099-Ks to merchants when the gross amount of total reportable payments exceeds $600 in a calendar year. This change impacts tax reporting for 2023 and subsequent years.

For returns prior to 2023, platforms were only required to send 1099-Ks to merchants when the gross amount of total reportable payments exceeded $20,000 and the total number of such transactions exceeded 200 in a calendar year.

Updates to Form 1099-MISC:

No updates currently for 2023. We will continue to monitor for any updates from the IRS and will update this section if there are any changes before the end of the year.

Updates to Form 1099-NEC:

No updates currently for 2023. We will continue to monitor for any updates from the IRS and will update this section if there are any changes before the end of the year.

This article is neither legal advice nor tax advice. We recommend that you speak to your tax advisor with any questions or concerns around tax reporting.