Venmo, CashApp to Send Tax Form to Many New Sellers in 2025 (2)

E-commerce giants such as PayPal Holdings Inc.‘s Venmo, Etsy Inc., and CashApp now know which customers must get a certain tax form for the 2025 tax filing season and beyond.

The companies will be required to send a 1099-K form to taxpayers with more than $5,000 in business transactions during calendar year 2024—formalizing an IRS announcement from last year, the agency said in guidanceTuesday. For 2025, the threshold will drop to $2,500 and for 2026 and after it will be $600.

The IRS said it will not assert penalties on these payment platforms for failure to withhold ...