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Will I receive a 1099-K and what do I do with it?

Every year, the United States IRS requires that Stripe provide a form called a 1099-K for each Stripe account that meets all of the following criteria in the previous calendar year:

  • Account is based in the United States (Owners do not need to be US citizens.)
    AND
  • More than $20,000 USD in total gross volume
    AND
  • More than 200 charges

The 1099-K is a purely informational form that summarizes the sales activity of your account and is designed to assist you in reporting your taxes. It is provided to you and the IRS, as well as some US states. If you are a Connect platform looking for information on how 1099s are issued to managed accounts, please visit this link.

What information is included in my 1099-K?
How and when do I get my 1099-K?
Downloading your 1099-K
Mailing a Physical Copy of Your 1099-K
What is “Total Gross Volume”?
Finding out which transactions counted towards your 2016 1099-K
Deducting Stripe Fees, Refunds, and Adjustments
Exporting Data if You Didn’t Get a 1099-K
My account(s) processed less than the IRS reporting threshold, but I still received a 1099-K. Why is that?

What information is included in my 1099-K?

Below you’ll find a brief description of the information you can expect to find on the 1099-K that Stripe provides for you. For more help understanding your 1099-K go to IRS.gov. You can also download a blank example of the 1099-K form here.

Label Box # Description
Filer’s name, address, and telephone number Contact information for Stripe
Payee’s name, address, and telephone number This is the contact information for your business or organization as it was provided to Stripe.

If you’d like to update your address, please do so before January 21st from your account settings.
PSE’S name and telephone number Contact information for Stripe
Account number Your Stripe account number
Filer’s federal identification number Stripe’s identification with the US government
Payee’s taxpayer identification number This is either your Employer Identification Number (EIN) or Social Security Number (SSN) as it was provided to Stripe. For your protection, the form that we send to you may show only the last four digits. However, the copies that are sent to the IRS and state tax boards includes your complete identification number.

If your information needs to be updated, we probably already reached out to you to verify your information; however, you can also email us if you’d like to make a change.
Gross amount of payment card/third party network transactions 1a The total gross volume of charges that you’ve made with Stripe in the calendar year
Card Not Present transactions 1b The total gross volume of charges that were made without the card present at the time of the transaction.
Merchant category code 2 The merchant category code for your business or organization
Number of payment transactions 3 The number of charges that you’ve made with Stripe in the calendar year
Federal income tax withheld 4 Backup withholding from your Stripe payments.
5a-5l The total gross volume of charges that you’ve made with Stripe for each month of the calendar year
State 6 The state in which your income tax has been withheld
State identification number 7 Your identification number that is used for your state income tax withholding
State income tax withheld 8 State and local income tax withheld from the payments

How and when do I get my 1099-K?

If your business qualifies, your 1099-K for the previous calendar year will be available to download from your dashboard prior to January 24, 2017. We will also notify you via email when the form is available.

Downloading your 1099-K

  1. Head to “Business Settings” in your dashboard
  2. Click on the “Documents” tab

Once you’ve done this, you’ll have the option to download the 1099-K PDF that we have prepared for you.

Note: For a copy of 1099-Ks issued prior to the 2014 fiscal year, please contact us.

Mailing a Physical Copy of Your 1099-K

If you would like to receive a physical copy of your 1099-K, please let us know by no later than January 19, 2017.

We’ll mail the 1099-K using the latest address information that you’ve provided. If you’d like to update your mailing address, please do so before January 19 from the account settings page of your dashboard.

What is “Total Gross Volume”?

“Total gross volume” means that we calculate the total of all of your charges for the year including:

  • Stripe processing and conversion fees
  • Shipping fees
  • Taxes
  • Refunded charges
  • All adjustments

These additional fees, refunds, and adjustments aren’t deducted from your total charges when calculating your gross volume and reporting to the IRS.

Finding out which transactions counted towards your 2016 1099-K

If you’d like to see a per-transaction breakdown of your 1099-K, you can easily do so by logging into your Stripe account, and then using this link to access your dashboard balances page.

  1. From here, select the ‘Export’ button located in the upper-right corner of your screen.
  2. After the download has finished, simply open the resulting .csv file in your spreadsheet viewer of choice. This filtered list will provide a complete summary of all transactions that contributed towards the totals displayed in your 1099-K.

Note: if you’ve accepted any non-credit card payments in 2016 (for example, ACH payments, Bitcoin payments, or transfers from another Stripe account), you’ll also need to access these payments separately by using this link. If you find your payments export is taking too long to process, you can always contact us to request this information directly.

Deducting Stripe Fees, Refunds, and Adjustments

If your accountant needs to calculate your deductions for Stripe fees, refunds, and adjustments, all the data they will need is accessible via the dashboard. By using the following links, you can use your balance page to calculate your account’s total:

To calculate any disputes lost during the 2016 fiscal year, please use the following link to access your payments balances page.

Note: you can open these .csv files with any spreadsheet program (like Microsoft Excel, Google Docs, or Apple Numbers).

Exporting Data if You Didn’t Get a 1099-K

If you weren’t eligible for a 1099-K (you didn’t process 200 charges and $20,000 in the last reporting year), you can still quickly export the same information from your dashboard by following the steps outlined in the reconciliation section of this article. For more information on how to calculate your deductions, please visit the deductions section of this document above.

My account(s) processed less than the IRS reporting threshold, but I still received a 1099-K. Why is that?

Stripe provides a 1099-K form for each unique tax identification number (TIN), such as a Social Security Number (SSN) or Employer Identification Number (EIN), that meets the IRS processing threshold. As such, it’s possible that you could have an account that does not meet the IRS processing threshold, yet we’ll provide you a 1099-K. Here are some possible scenarios:

  1. You have two accounts with the same TIN; one meets the IRS threshold and one does not. Each will receive a 1099-K.
  2. You have two accounts with the same TIN; neither are over the IRS threshold individually but, when combined, the threshold is met. Each will receive a 1099-K.

If you’ve received a 1099-K, and still don’t think you should have (for example, if you only have one Stripe account, which is below the thresholds described above), please contact us.

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